Spencer sells £31million Icap shares to pay off private debts

Michael Spencer, Conservative party treasurer, has sold another £31 million worth of shares in Icap, the giant broking firm he created, in order to reduce the borrowings of his private company which owns spread-betting firm City Index.

Spencer's IPGL, which is controlled by his family trusts, sold six million shares at 512p today raising £30.7 million. That reduces his stake from around 17.4% to 16.3%. Icap shares fell 6p to 522p. The sale means that IPGL can meet the obligations it has on a secured loan from HSBC which helped the group refinance after a series of write-offs including among its spread-betting clients.

As well as City Index, IPGL has stakes in a fund manager Origin Asset Management, a distressed debt trader Exotix and charters out Spencer's motor yacht. In the past two years IPGL has cut its debt from £335 million to £130million and now to £100million after the Icap share sale.