FXCM Japan Securities Co., Ltd today addressed its customers to officially confirm that it is now a subsidiary of Rakuten Securities, arm of Rakuten Inc (TYO:4755).
The announcement said the deal that saw Rakuten Securities pay $62 million to acquire the Japanese operations of US Forex broker FXCM Inc (NYSE:FXCM) was successfully completed on April 1, 2015.
The sale of FXCM Japan has allowed FXCM Inc to make some good progress in terms of its loan repayment to Leucadia. The US Forex broker yesterday said it managed to repay further $54 million outstanding under its credit agreement with Leucadia. Disposing of non-profile assets, like FXCM Japan, is a part of the plan set to allow FXCM Inc to raise the necessary funds to pay off the loan as soon as possible.
In today’s announcement, FXCM Japan’s president Kazunori Iida noted that the customers of FXCM Japan will continue to make use of excellent services and will still be able to tap the benefits of the company’s NDD model. Trading on MT4 will still be available.
As stated in a SEC filing by FXCM, there will be a transition period of about 18 months, following the completion of the transaction. During this period, ongoing operational and technical support will be provided for FXCM Japan by its former parent and its affiliates.
To view the official announcement by FXCM Japan, click here.