Singapore Exchange (SGX), has revealed it is further extending its reach into the FX OTC space by fully acquiring MaxxTrader, a single source and direct-to-market FX trading platform.
The deal with FlexTrade Systems, the owner of MaxxTrader, will be for the amount of US $125 million. The transaction is expected to complete by the end of the year. The exchange expects the acquisition to accelerate its plans to establish an integrated FX ecosystem and marketplace that enables global access to OTC and on-exchange currency derivatives.
Loh Boon Chye, Chief Executive Officer, SGX, commented:
Since SGX expanded from FX futures to the global FX OTC market, we continue to cement our footprint in this fast-growing and sizeable US$6.6 trillion-a day global market. We are excited to acquire MaxxTrader, which further enhances our FX OTC offering and widens our customer base across the sell- and buy-side.
MaxxTrader is a provider of FX pricing and risk solutions for sell-side institutions such as banks and broker-dealers, as well as a multi-dealer platform for hedge funds. Headquartered in Singapore and established in 2008, the company has set up a strong, global client and dealer franchise with more than 100 global banks, regional banks, broker-dealers and hedge funds currently connected to its platform. During this time, MaxxTrader’s average daily volume (ADV) has reached over US$17 billion.