Business
Acquisition of Atlantic Brokers Ltd
Acquisition of Atlantic Brokers Ltd.
About this update from Braemar Plc
[{"type":"text","content":"\n \nRNS Number : 7122D Braemar Shipping Services PLC 02 February 2018 \n\n \n \n \n \nBRAEMAR SHIPPING SERVICES PLC\n(\"Braemar\", the \"Company\" or the \"Group\")\n \n2 February 2018\n \nAcquisition of Atlantic Brokers Ltd\nBraemar Shipping Services plc (\"Braemar\", the \"Company\" or the \"Group\"), a leading international provider of broking, financial advisory, consultancy, technical and logistics services to the shipping, marine, energy, offshore and insurance industries is pleased to announce the acquisition of the entire issued share capital of Atlantic Brokers Holdings Ltd, the holding company for Atlantic Brokers Ltd (together, \"Atlantic\"), an established broker of physical and financial coal products (the \"Acquisition\") for a total consideration of £4.8 million. \n \nAcquisition Highlights\n• Atlantic is an established introducing broker for ICE coal and CME Clearport coal futures and options; it is regulated by the Financial Conduct Authority (the \"FCA\") and is also a member of the National Futures Association of the United States of America (the \"NFA\").\n• The Acquisition provides the opportunity to expand the combined Braemar and Atlantic businesses into new markets using Atlantic's experience and the physical shipping capability and market reach of Braemar. \n• As Atlantic is regulated by the FCA, the acquisition will enable Braemar to move into the growth area of commodity derivatives broking.\n• The total consideration of £4.8 million is made up of:\n- £2.7 million in cash (subject to adjustment based on target net asset value/regulatory capital requirements); and \n- £2.1 million to be satisfied by the issue of 804,426 ordinary shares of 10 pence each in the capital of Braemar, representing a price of £2.61055 per share (the volume weighted average closing middle market share price for an Ordinary Share for the 30 consecutive trading days prior to completion).\n• Atlantic is led by Tristram Simmonds and Michael Griffin who have over 35 years of combined professional experience in the energy markets and have been broking coal futures since 2001.\n• &n...