The institutional powerhouse based in the US, StoneX Group Inc. (NASDAQ:SNEX) has announced today via press release that they have completed the acquisition of GAIN Capital Holdings, Inc. (NYSE: GCAP) for $236 million. The all-cash merger creates opportunities for both firms in a new combined format with GAIN’s FOREX.com leading the retail FX market place in several key markets, while StoneX focuses on institutional and advisory services.
Sean O’Connor, CEO of StoneX, indicated that “this is the beginning of an exciting new era for our company as we add two of the largest and best-known retail financial-services trading brands in the world to our global financial services network, in the process more than doubling the number of active retail accounts we serve to 295,000 worldwide. We expect the integration of GAIN’s businesses to drive transaction volumes and create new cross-selling opportunities across all of our platforms – ultimately driving our financial performance in the process.”
The merger, which was first announced in February of this year will allow both firms to complement their individual offerings. Yet it is still unknown what synergies will take place going forward to ensure the growth of the retail segment with complementary technology, pricing, or other services from StoneX’s extensive institutional operation.