ION Group Raises Fresh Debt to Pay Dividends, Build Cash Buffer

Andrea Pignataro’s ION Group received a nod of confidence from debt investors on both sides of the Atlantic as it borrowed a combined $276 million in the space of three weeks to distribute cash to shareholders and build up its cash buffers.

The fintech conglomerate raised the funds through separate loan sales in Europe and the US for its Markets and Corporates divisions, even as a concurrent attempt to lower the interest rate on some of its existing debt fell apart last week amid concerns over ION’s overall indebtedness.

Borrowings to fund dividends are generally seen as risky by ...