Formal statement issued on IronFX-FXDD merger
Formal statement issued on IronFX-FXDD merger It seems that our coverage of the planned IronFX-FXDD-Nukkleus merger and reverse takeover has caused quite a stir in the Forex industry.
Formal statement issued on IronFX-FXDD merger
After LeapRate first broke the news (at about 9:45am CET Monday), a number of other blogs seemed to pop up with me-too ‘Exclusive’ stories of their own on the subject, such as opinions as to whether this is real or not, whether this can or will happen or not, whether this is really a ‘merger’ or not, ad infinitum…
Once again, we have tried to bring our readers the key facts. Which remain very simple. The three companies – IronFX, FXDD and the publicly traded Nukkleus Inc (OTCMKTS:NUKK) – and their shareholders have agreed to a multi-step transaction in which the three will ultimately combine their businesses (i.e. merge) and be publicly traded, and have stated as such in a formal SEC filing.
Will it ultimately happen? A number of approvals are still needed and a lot can happen in the industry between now and later this year when the transaction would ultimately close. So we’ll see. But we will in the interim continue to bring our readers the ‘real story’ and facts, without any of the extraneous noise or incorrect analyses of the situation.
And the next ‘fact’ is a formal statement made jointly by the three parties on the subject, which we’ll repeat in full below. It includes quotes from the CEOs involved Emil Assentato (Nukkleus) and Markos Kashiouris (IronFX), But to summarize, it describes the transaction basically as we first explained it in our first two articles linked to above – ultimately leading to a merger between the three companies, and as a result a larger, publicly traded entity resulting.
The statement reads as follows, and can also be seen on the SEC’s website. Note that we have taken the liberty of highlighting a few of the passages in the statement.
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NUKKLEUS INC ANNOUNCED ACQUISITIONS
Nukkleus Inc (OTC: NUKK) (“Nukkleus” and the “Company”) today announced the acquisition of selected technology assets previously owned by Forexware LLC (“Forexware”). Nukkleus further announced that it has initially obtained a 9.9% shareholder stake in IBIH Limited (“IBIH”) the parent company of the IronFX Global Group (“IronFX”), and has also acquired 100% of an Australian regulated entity formerly owned by IBIH. Nukkleus has entered into a Stock Purchase Agreement pursuant to which it has agreed to acquire additional equity in IBIH and, prior to such closing, Nukkleus is required to enter into an option to acquire additional Forexware and FXDD Inc (“FXDD”) operating units. These transactions are subject to regulatory approval where applicable.
The management of Nukkleus has stated that the acquisition of a 9.9% shareholder stake in IBIH, as well as the acquisition of the operations of IronFX Australia, is just a first intended step towards the Company’s long term strategy of identifying leading retail forex brands from around the world as well as leading financial technology companies related to the industry which can potentially be included and synergistically folded into Nukkleus. It is the stated intention of Nukkleus management to maintain the separate brand identity, operational autonomy, and segregated customer deposits for each individual retail forex brand it may potentially acquire in the future; while simultaneously capitalizing on efficiencies afforded by scale, shared backbones and optimized regulatory capital structure.