Shareholder payday on the horizon? Lord Cruddas’ CMC Markets mulls split
Tory peer Lord Cruddas is reportedly looking into splitting up his CMC Markets into two London-listed firms.
The separation could be announced within days, Sky News’ Mark Kleinman reported, creating a leveraged trading business as well as a non-leveraged technology and investment products platform.
The move could see shareholders, including Lord Cruddas with his 62.5 per cent stake, rake in millions of pounds.
While the split is still in its early stages of exploration, it is reportedly being led by chairman James Richards, alongside advisers.
CMC had cautioned “subdued” market activity in September, which had been anticipated to constrain profits.
If it goes ahead, the split would follow on from overseas business giants Toshiba and Johnson & Johnson who earlier this week confirmed that they too would be simplified into separate companies.
City PM has contacted CMC for comment.