City Index Group Limited acquires FX Solutions LLC

LONDON, Feb. 6 /CNW/ – City Index, a leading provider of retail derivative trading services including CFDs, FX and spread betting, is pleased to announce the acquisition of FX Solutions LLC (http://www.fxsolutions.com)
in an all equity transaction.

FX Solutions, based in Saddle River, New Jersey, provides a premier retail foreign exchange (‘FX’) electronic trading platform for all major currency pairs. FX Solutions was founded in 2001 by Thomas Plaut and Robert Cortright, two industry leading executives with over 40 years combined
experience in foreign exchange trading. Messrs Plaut and Cortright will
continue in central roles in the enlarged group.

FX Solutions has been recognized for 3 consecutive years by Inc. magazine as a part of the annual Inc. 500 “America’s Fastest Growing Private Companies” list. Only 11 of 500 companies achieved that status, and in 2007, FX Solutions was the only retail FX broker to make the list.

Between December 2005 and December 2007 FX Sol’s EBITDA (earnings before interest, taxation, depreciation and amortisation) grew at cumulative annual rate of over 60 per cent. In early 2007 Francisco Partners, the US private equity house, invested over US$100 million in FX Solutions.

The combined Group will employ over 400 staff across 6 offices in the UK, United States, China, Singapore and Australia and has partnership relationships throughout Europe, North America, Australia and the Middle East, transacting approximately 1.6 million trades per month. The Group is regulated in Europe, the United States, Singapore and Australia.

Mr Clive Cooke, CEO City Index, commented on the transaction: “The FX Solutions team have built a highly successful business with clients in over 50 countries and we are delighted to be able to bring our two companies together.

This transaction will enhance and strengthen our current product offerings to our retail clients and institutional business partners and accelerate our expansion into new geographical markets.”

Thomas Plaut Co-founder and Co-CEO of FX Solutions, commented: “We are very pleased to be joining the City Index Group, an ideal partner to take our business to the next stage. City Index’s diverse and worldwide operations will open new opportunities for our business and we know the merger with City Index is going to be a positive for all involved – especially our customers.”

“We are delighted to be participating in this combination, which creates a new, multi-product leader with best in class technology, serving a rapidly growing, global market,” said David Golob, Partner with Francisco Partners.

Tags: City Index, cityindex, FX Solutions

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