Planex Holdings, the parent company of Planex Trade.com, on Thursday announced that it would cease all of the services of its subsidiary, following a deal with the Japanese arm of retail FX giant Forex.com. Less than a month after LeapRate broke the news of Forex.com acquiring the Forex client base of Planex Trade.com, the parent company made it clear that the deal will have wider consequences for the business.
According to the plans unveiled by Planex today, the services operated by Planex Trade.com will be terminated gradually starting from September 27, 2014 and finishing on October 10, 2014. As a result, Planex will no longer run its forex trading service which currently operates under the designation Planex Trade Pro, it will also discontinue its Mirror Trader copy trade service (Shisutore.com or ST), as well as its Forex and CFD trading platform Gaitame Trade.com also marking the end of the road for Planex Binary. The halt of the last service is particularly surprising as it was introduced only in June 2014 and, according to corporate reports, performed rather decently for the broker and for the traders.
However, it appears that Planex has made a strategic decision concerning its business. Subsequent to October 10, 2014, the holding company will no longer run any business with Financial Instruments of Type I, or foreign exchange. Forex.com will take over Gaitame Trade.com, while the rest of the services will be terminated. The deal will be in the form of an absorption-type split.
At this moment Planex Trade.com has capital of JPY 150 million (USD 1.4 million), which was reduced to this level soon after the release of Gaitame Trade.com in 2012 and just a couple of months before the launch of Mirror Trader.
After the ceasing of activities of Planex Trade.com, Planex Holding will still boast a rather diversified business ranging from supplying LAN devices to selling used cars.
Clients of Planex Binary, Planex Trade Pro and Mirror Trader are asked to close their positions and demand withdrawals before the end of Friday, September 26, 2014. Traders who use Gaitame Trade.com will have time until October 5, 2014, to do so. They will also have the option to keep using the service with Forex.com Japan.
For the announcement by Planex Trade, click here.