Globe & Mail 10:28 AM EDT, 06/15/2021 (MT Newswires) -- Mogo Inc. (MOGO.TO) said Tuesday that it has closed its acquisition of an additional 2.0% stake in cryptocurrency platform Coinsquare Ltd. from Michael Diamond and two affiliated companies.
Under the terms, Mogo acquired 655,644 Coinsquare shares in exchange for 378,774 Mogo shares and $5 million in cash. As a result, Mogo's stake in Coinsquare increased to about 39%.
Mogo, which at last look gained more than 3% in both U.S. and Canada trading early Tuesday, said it also holds an option to acquire up to an additional 3.4% stake from the vendors until Oct. 13, which would potentially raise Mogo's interest by up to an additional 14% when combined with Mogo's existing warrants in Coinsquare.
Mogo noted that it requires the approval of the Coinsquare board to increase its ownership interest in Coinsquare to over 49.9% and there is no certainty that the board will grant such approval.
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