Brokers News

FXCM closes on sale of DailyFX to IG, almost half of its debt to Leucadia repaid

Oct 31 2016 08:30:53 GMT
By
Stanimir Zhelev , ForexBrokerz.com Find me on Google+

Leading global brokerage FXCM (NASDAQ:FXCM) announced on Monday it has finalized the sale of news and research portal DailyFX to IG Group (LON:IGG) for $40 million. On closing, FXCM received $36 million in cash and will get additional $4 million on completion of certain migration requirements. After the additional $4 million is received, FXCM will have repaid more than half the debt to Leucadia National Corp.

The sale of DailyFX was announced in September and came as a surprise to the industry, as FXCM had not included the news and research portal on its list of assets for sale after the Leucadia bailout. The brokerage drew a $300 million loan from the lender in order to cover clients' losses and meet the minimum capital requirements ($20 million) after the Swiss franc-related crisis from January 2015 . FXCM also had to sell two of its subsidiaries - FXCM Japan Securities and FXCM Asia (aka FXCM Hong Kong) - to Japanese company Rakuten Securities.


“With the close of this deal we have made another positive step towards completing our goal of eliminating the Leucadia debt through the sale of non-core assets and cash generated through operations,” said Drew Niv, CEO of FXCM.


FXCM said its clients will still have access to IG’s DailyFX PLUS and that it will continue to offer financial news, analytics, and forex education resources through its web domains, as well as on the FXCM Trading Station platform. Besides, the company will soon launch FXCM Plus, a password protected webpage for all FXCM live clients which will offer signals, trader sentiment data (SSI), live webinars and technical alerts.


Meanwhile, the most profitable UK brokerage, IG Group, receives the entire DailyFX business including all international and domestic web domains, source code and content, in addition to all 34 employees currently working on DailyFX domains, as well as all intellectual property rights.


The FXCM Group is 50.1% majority owned by FXCM Inc. The rest of the group moved to the hands of Leucadia as part of a definitive agreement the two companies signed to amend the conditions of their credit letter agreements. Earlier this month FXCM announced commencement of a $15 million "at-the-market" offering program. The broker says it intends to use the proceeds generated through the program to reduce its outstanding indebtedness to Leucadia and for other general corporate purposes.
 

TAGS: fxcm  ig  ig markets  dailyfx  dailyfx.com 

More news about FXCM

Broker Country Regulation Platform Min Deposit Review
Cyprus CySec MT4, MT5, Web $5 Review Website
US, UK, Australia CFTC/NFA, FCA, ASIC MT4, Web,
Mirror Trader,
Trading
Station,
NinjaTrader
$50 Review Website
UK, Australia, Singapore FCA MT4, Web,
ProRealTime,
2Dealer
$1 Review Website
UK, Cyprus FCA, CySec MT4 $5 Review Website
UK, Cyprus FCA, CySEC MT4, MT5, Web,
cTrader,
SuperTrader,
FxPro Markets
$100 Review Website
Seychelles FinaCom MT4 $10 Review Website
UK, Bulgaria FCA, FSC Web $150 Review Website
Belize IFSC MT4, MT5 $100 Review Website
Cyprus CySEC MT4, MT5 $300 Review Website
New Zealand FMA MT4 $1000 Review Website

More Forex Brokers News

Admiral Markets amends margin requirements

Jan 19 2017 14:59:35

Admiral Markets, a European forex and CFD broker, said it is amending the margin requirements on the instruments it offers on some of the live trading accounts.    According to the broker, the changes will apply to all positions opened on Admiral.Markets and Admiral. Read more

eToro takes ETFs to a next level of Copy Trading

Jan 18 2017 15:20:51

Innovative forex broker and social trading network eToro launched a new investment service called CopyFunds, which takes exchange-traded funds (ETFs) to a whole new level.   ETFs allow traders to invest in a whole sector or market trend, not just in one company or commodity. Read more

XM is only forex broker in World Finance 100 2016 list

Jan 18 2017 12:47:05

XM, a European forex broker regulated by UK's FCA and the Cyprus Securities and Exchange Commission (CySEC), said it has been included in the World Finance 100 list for 2016. Read more

Interactive Brokers’ income before taxes increases by 66.2% in 2016

Jan 18 2017 08:39:23

Multi-asset automated brokerage Interactive Brokers (NASDAQ GS: IBKR) announced key financial and trading metrics for 2016 on Tuesday.  Leading US broker and a market maker reported its income before taxes for 2016 came in at $761 million, which is a growth of 66.2% compared to 2015. Read more

Swissquote’s social network Pulse now available on iOS devices

Jan 17 2017 15:06:27

A bank, a major FX and CFD brokerage, as well as a fintech pioneer, Swissquote announced that its recently launched social network, called Pulse, is now available on iOS devices. Read more

Morgan Stanley raises its stake in Plus500

Jan 16 2017 15:31:23

Morgan Stanley, the US multinational financial company who is among the major stakeholders in the London Stock Exchange (LSE)-traded forex broker Plus500 (LON:PLUS) has raised its stake in the company to pass the 6% threshold. Read more

IG urges its clients to take a stand with regards to FCA’s proposals

Jan 13 2017 08:36:04

Major brokerage IG Group (LON:IGG) encourages its clients to share their opinions about the recent proposal from the Financial Conduct Authority (FCA) to raise margin requirements for CFDs and spread betting, among other things. Read more

FXCM sees December, Q4 2016, annual trading volumes fall

Jan 12 2017 14:31:39

FXCM, the leading US forex brokerage saw a double-digit decline in its December retail and institutional trading volumes both on a monthly and annual basis, show the officially released company metrics. Read more

IG Group renames binary options to “Digital 100s”

Jan 12 2017 10:44:34

 IG Group, one of Europe's largest forex, CFD and spread betting (UK only) brokers has rebranded its binary options products and now calls them “Digital 100s”. Read more

It's official: Banc De Binary renounces Cyprus license

Jan 11 2017 12:43:49

 Banc De Binary, the largest and oldest regulated binary options broker has renounced its Cyprus license, several days after the first reports that it is planning to shutter its business and has stopped taking clients from the EU. Read more