05.30.2018

Deutsche Börse Buys US Foreign Exchange ECN

Deutsche Börse has reached a definitive agreement to acquire GTX’s ECN business from GAIN Capital Holdings Inc. for 100 million US dollar. With this transaction Deutsche Börse Group’s foreign exchange unit 360T expands its participation in the global FX market. The transaction is in line with Deutsche Börse’s Roadmap 2020 to grow its business through add-on acquisitions.

The deal creates one of the largest and most diverse OTC FX market places. GTX ECN complements 360T’s existing product suite by adding access to deep FX Spot liquidity supported by professional financial institutions. 360T and GTX currently provide FX solutions to over 2,000 global clients that operate out of more than 75 countries around the world.

Carlo Kölzer, Head of FX Deutsche Börse Group and 360T CEO said: “The acquisition of the GTX ECN business, a highly reputable player in the FX market, is a meaningful addition not only to broaden our existing offering but also to complete our holistic value proposition designed to support all clients that operate out of all geographies and client segments based on current or potential future market structure.”

GTX’s ECN business gross revenues were around 23 million US-Dollar in 2017 and are planned to grow with double-digit growth rates. The acquisition is expected to be cash accretive in year one after closing, and is expected to meet Deutsche Börse’s return on investment target of more than 10 per cent at the latest in year three post-closing.

Source: Deutsche Börse

Brad Bailey, research director at consultancy Celent, said:

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