Retail forex broker FXCM, a unit of Global Brokerage Inc (NASDAQ:GLBR), has announced that it has closed as expected the sale of its institutional FX ECN unit FastMatch to Euronext NV (EPA:ENX).
The original agreement was reported at the end of May, when Euronext agreed to buy FastMatch for $153 million. FastMatch was jointly owned by FXCM, and by commercial banks Credit Suisse Group AG (ADR) (NYSE:CS) and BNY Mellon Corp (NYSE:BK).
FXCM reported that it received cash of $46.7 on closing, with a further $8.7 million held in escrow subject to certain potential future adjustments. In addition, FXCM has a share of a $10 million earnout if certain performance targets of FastMatch are met.
FXCM’s proceeds from the sale were used to repay its debt owed to Leucadia. FXCM reported that, with this latest repayment now made, its debt to Leucadia was down to $66.8 million outstanding.
According to FXCM Group CEO Brendan Callan,
With the close of this deal we have made a significant step towards reducing the Leucadia debt.