Channel Island-based investment services group Ravenscroft has agreed terms to acquire a 25 per cent shareholding of MXC Capital (UK) – MXCUK.
The deal, which is worth £2.25 million, has been agreed between Ravenscroft Holdings, MXCUK and MXC Guernsey, a subsidiary of AIM-quoted MXC Capital.
MXCUK is also a subsidiary of MXC and is the holding company of the group’s transactional businesses – MXC Advisory and MXC Capital Markets.
The deal, which is subject to consent from the Financial Conduct Authority, will strengthen the relationship between the two companies.
Earlier this year, MXC was appointed as a consultant to Ravenscroft in relation to its role as investment manager to the Guernsey Investment Fund (GIF) Technology and Innovation Cell, which invests in projects and businesses with a Guernsey focus or which may benefit the bailiwick.
Jon Ravenscroft, chief executive officer of Ravenscroft, said: "This is a long-term investment that aligns Ravenscroft’s interests more closely with those of MXC, with which we have a successful working relationship. We expect opportunities to refer work to each other and believe there's potential for further synergy in future."
Peter Rigg, chairman of MXC Capital, said the board believes it will drive value in the group’s transactional business and provide further opportunities within its investment business.
On completion, Ravenscroft will pay £1.5 million, with the remaining £0.75 million due in January 2019.