Gain Capital Chairman Joe Schenk cashes in 40,000 options
Regulatory filings viewed by FNG indicate that Joe Schenk, Chairman of the Board of Retail Forex and CFDs brokerage group Gain Capital, recently exercised 40,000 options to purchase GCAP shares.
At an exercise price of $3.83 per share, the total cost of the options exercise should come to $153,200. At Gain Capital’s current share price of $6.12, Mr. Schenk’s on-paper profit on the exercise should come to about $91,600. Following the exercise, Mr. Schenk now owns 237,219 GCAP shares, worth about $1.45 million.
The options exercised by Mr. Schenk were actually pre-IPO options. Gain Capital, parent of Forex.com, went public at $9 per share in December 2010, and had issued a series of long dated option grants which vested over time to its Directors before the IPO.
Joe Schenk has served as Gain Capital’s Chairman of the Board of Directors since October 2017, but has been a board member since 2008, well before the IPO. Presently, Mr. Schenk is a Managing Director at Qarik Group, a technology consulting firm focused on bringing senior level expertise to partner with senior level management and boards to solve big business problems using the power of Machine Learning. He has also held senior positions at Westaim Corp, The Carlyle Group, First NY Securities, LLC, Pali Capital, Inc., and Jefferies Group, where he was CFO from 2000-2007. Interestingly, Jefferies now controls Forex.com rival FXCM.
Gain Capital is in the process of being acquired for $6 per share, or $236 million in total, by StoneX (formerly INTL FCStone). That transaction is expected to close pending regulatory approval later in Q3.