Finastra acquires Olfa Soft SA
Fintech giant Finastra has acquired Olfa Soft SA and its FX e-trading platform for banks and financial institutions, according to company officials.
The move enables Finastra to deliver a unique end-to-end real-time eFX trading solution for banks’ treasury departments, covering distribution, position-keeping, post-trade and payments.
Nadeem Syed, CEO at Finastra said, “As the FX trading market shifts to automated, machine-to-machine electronic trading, it is crucial that we also evolve our solutions to stay ahead of industry developments and meet our customers’ needs. Bringing Olfa Soft into the Finastra fold enables us to provide treasurers around the world with an innovative approach to eFX trading which is unmatched in comprehensiveness in the market. What’s more, this is our first acquisition as Finastra and signals our commitment to ongoing innovation and growth.”
Finastra has collaborated with Olfa Soft since June 2017 and has already seen significant interest from the market. Now, as one combined company, we can ensure even tighter integration of the FusionCapital Treasury solution suite with the Olfa Soft Seamless FX platform. Treasurers are able to manage FX positions and exposures in real-time with a single user experience, providing deeper insight across the entire trade lifecycle and mitigating operational risk end to end. As well as offering direct access to 48 liquidity providers, straight-through-processing (STP) capabilities in the platform mean treasurers can act faster in response to changing market conditions and benefit from a competitive edge where milliseconds count.
Based in Geneva, Switzerland, Olfa Soft specializes in the field of trading platform design and integration, providing seamless FX services. The company is a natural fit for Finastra given its complementary solutions and customers.
“As FX markets become more competitive with trading increasingly conducted electronically, technology has to keep up with the pace and efficiency the market demands,” said Fabrice Benouaich, co-founder and CEO at Olfa Soft. “We already know that our combined proposition works and now we’ll be able to help treasurers take eFX trading to the next level.”
The combined eFX trading solution is already available and will be delivered as a micro-service on the Finastra FusionFabric architecture, adding value for capital markets clients who prefer a cloud-based approach.
The deal should boost the firm's LME operations in Germany, say officials.
The deal entails the acquisition of three of the firm's brokerage businesses.
Schwab estimates a $1.8B to $2B run-rate expense synergies within three years of the deal's close.
The acquisition extends the vendor's SaaS offerings to private debt markets.
The purchase should bolster the firm's trading technology and quantitative research.