OANDA to Be Acquired By CVC Capital Partners - The Industry Spread

Ricardo Esteves

Ricardo Esteves has seen business and economics through many lenses. He joined the Financial Services Industry in 2009, and has been a financial journalist since 2011. He holds a degree in Business Administration and has experience producing real-time news, from both buy-side and sell-side, as well as for retail traders, brokers and service providers. Esteves' work has appeared in a variety of online publications including FX Street and FinanceFeeds.

CVC Capital Partners

OANDA to Be Acquired By CVC Capital Partners

May 4, 2018
Vatsa Narasimha, President and Chief Executive Officer, OANDA Corporation
Vatsa Narasimha, President and Chief Executive Officer, OANDA Corporation

The shareholders of OANDA Global Corporation are selling all of the outstanding equity of OANDA to a wholly-owned subsidiary of CVC Capital Partners (CVC) Asia Fund IV, according to an official statement.

The online retail trading platform, currency data and analytics company founded in 1995 will continue to be led by Chief Executive Officer, Vatsa Narasimha, under the new ownership of CVC Asia Fund IV. Narasimha was instrumental in growing the business at a CAGR of over 25% since 2015.

The company’s online FX trading platform was launched in 2001 and introduced cutting edge technology and new products to the retail segment. OANDA has offices in London, New Delhi, New York, Tokyo, Toronto, San Francisco, Singapore, and Sydney.

Siddharth Patel, Senior Managing Director at CVC, commented on the acquisition:

OANDA“This is an exciting opportunity to invest in a leading global player with a consistent track record of growth and a highly cash-generative business, in a sector known well to CVC. We look forward to working closely with Vatsa and his team as we help support OANDA, especially in Asia, in making strategic acquisitions and in investing to further broaden its product set.”

Vatsa Narasimha, CEO of OANDA, was pivotal in the investment. He commented:

“I am excited by the change in ownership and the next phase of OANDA’s development. OANDA is a consumer-focused business and the management team has an ambitious strategic and product plan to drive value over the next five years, focusing on both organic and inorganic growth. This strategy is wholly supported by our new owners.”

Kittu Kolluri, Chairman of OANDA
Kittu Kolluri, Chairman of OANDA

Kittu Kolluri, Chairman of OANDA, added:

“Over the years, OANDA has built an exceptional platform with proven scalability to meet all the demands of the company’s growing global client base. Under Vatsa’s leadership there has been a significant change in strategic focus and a number of operational improvements that have delivered strong results laying the foundations for further growth. OANDA is well positioned for its next step forward and will continue to transform the business of foreign exchange and beyond.”

Mr Narasimha commented on the acquisition: “I am excited by the change in ownership and the next phase of OANDA’s development. OANDA is a consumer-focused business and the management team has an ambitious strategic and product plan to drive value over the next five years, focusing on both organic and inorganic growth. This strategy is wholly supported by our new owners.”

The deal by CVC Capital Partners comes several months after it partnered with Blackstone and acquired the online payment specialist firm, Paysafe in a $4 billion deal. Post the deal, OANDA will be owned by the private investment group CVC Asia Fund IV.

The deal is subject to customary regulatory approvals.

CVC Capital Partners (“CVC”) is a leading private equity and investment advisory firm who currently manages $70 billion of assets representing 61 companies worldwide which employ 270,000 people and report combined annual sales of over $60 billion.

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