Subsequent Events (Notes)

6 Months Ended

Mar. 31, 2019

Subsequent Event [Line Items]

Subsequent Events [Text Block]

Note 19 – Subsequent Events

On March 13, 2019, the Company’s subsidiary INTL FCStone (Netherlands) B.V. executed a sale and purchase agreement to acquire all of the outstanding shares of CoinInvest GmbH and European Precious Metal Trading GmbH. This transaction was effective on the closing date of April 1, 2019 (“closing date”). Through the websites coininvest.com and silver-to-go.com, CoinInvest GmbH and European Precious Metal Trading GmbH are leading European online providers of gold, silver, platinum, and palladium products to private individuals, institutional investors, and financial advisors. The addition of CoinInvest GmbH and European Precious Metal Trading GmbH to the Company’s global product suite expands its offering, providing clients the ability to purchase physical gold and other precious metals, in multiple forms, and in denominations of their choice, to add to their investment portfolios. On the closing date, the Company paid preliminary cash consideration for the acquisition of €19.4 million, or approximately $21.8 million, which is equal to the estimated net tangible book value of the acquired entities as of December 31, 2018 (“effective date”), plus a premium of €6.5 million and €10.0 million for the purchase of shareholders loans outstanding with the acquired entities. The preliminary purchase price is subject to adjustment based upon the final purchase price calculations, as defined in the agreement, including an adjustment for the profits or losses generated by the acquired entities from the effective date to the closing date. The preliminary allocation of the purchase price is not yet complete.

On March 19, 2019, the Company’s subsidiary INTL FCStone Pte Ltd executed an asset purchase agreement to acquire the futures and options brokerage and clearing business of UOB Bullion and Futures Limited, a subsidiary of United Overseas Bank Limited. Closing is conditional upon receiving regulatory approval by the Monetary Authority of Singapore (“MAS”). The addition of the Asian-focused futures and options brokerage and clearing business to the INTL FCStone group gives the Company critical mass in its regional capabilities, providing access to a solid and reputable client base, and enhances the Company’s global product offering out of Singapore. The purchase price for the acquired assets is $5.0 million of which $2.5 million was due upon the execution of the asset purchase agreement and is included in ‘Other assets’ on the condensed consolidated balance sheet as of March 31, 2019. The remaining $2.5 million is due to the seller upon closing of the acquisition, which is expected to occur during the 2019 calendar year upon receiving approval from the MAS.