MXC boasts 'encouraging pipeline' as it unifies units

MXC Holdings acquired as channel investment firm becomes a single entity

Channel investment vehicle MXC Capital has boasted an "encouraging pipeline of transaction opportunities" as it unifies its activities and investments into a single entity.

The combined group – which was set up by serial channel investors Ian Smith and Tony Weaver – has a pot of cash worth £28m to invest, it said in an announcement to the London Stock Exchange, on which it is listed.

As part of the rejig, parent firm MXC Holdings has been acquired by its MXC Guernsey arm. MXC Holdings is valued at £15m for the purposes of the acquisition, it claims.

MXC Holdings owns a four per cent stake of the issued share capital of Redcentric on top of a further six per cent in shares. Redcentric snapped up part of Calyx Managed Services earlier this year.

"On completion, Ian Smith, Tony Weaver and Marc Young will own 38.97 per cent of the ordinary shares in the company and executives of the company a further 16.70 per cent, demonstrating strong commitment to the future of the business," the announcement said.

MXC said the deal – which was first put forward in May - would unify all its activities and investments in one single structure.

MXC chairman Peter Rigg said: "I am pleased to announce the acquisition we outlined at the time of our placing in May this year which consolidates all MXC investments and activities into a single entity and is the final step in the formation of the company as a quoted merchant bank, specialising in investing in technology companies."