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BRIEF-WisdomTree to buy $18 bln European exchange-traded commodity from ETF Securities
November 13, 2017 / 11:14 AM / 9 days ago

BRIEF-WisdomTree to buy $18 bln European exchange-traded commodity from ETF Securities

Nov 13 (Reuters) - Wisdomtree Investments Inc:

* To acquire $18 billion european exchange-traded commodity, currency and short-and-leveraged business from ETF Securities

* Transaction expected to be immediately and significantly accretive to earnings​

* Will exchange $253 million of cash and stock consideration of 30 million WisdomTree shares for acquired business​

* WisdomTree will adjust its quarterly dividend to $0.03 per share, starting with dividend scheduled for payment in Q1 of 2018​

* Cash consideration is $253 million, funded by $200 million of newly issued debt plus $53 million of cash on hand​

* To buy ETF Securities’ European exchange-traded commodity, currency and short-and-leveraged business

* Total consideration of deal is valued at $611 million​

* Stock consideration consists of 15.3 million shares of common stock and 14,750 shares of a new class of Series A non-voting preferred stock

* Deal to buy ETF Securities’ European exchange-traded commodity, currency, short-and-leveraged business​ includes $17.6 billion of AUM as of Nov. 9

* WisdomTree will adjust its quarterly dividend to $0.03 per share, starting with dividend scheduled for payment in Q1 of 2018​

* Voting rights associated with stock consideration will be capped at 9.99 percent Source text for Eikon: Further company coverage:

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