Saxo Bank Sells South African Operation to Sasfin
Saxo Bank, the Copenhagen-based FX and multi-asset broker, has announced the sale of its operation in South Africa, in line with its strategy to focus on the Chinese and the Far
Saxo Bank, the Copenhagen-based FX and multi-asset broker, has announced the sale of its operation in South Africa, in line with its strategy to focus on the Chinese and the Far East markets.
Michael Sassoon, Chief Executive Officer of Sasfin, says Saxo Capital Markets South Africa (SCMSA) is a high-quality choice for traders.
“Sasfin has been working with Saxo Bank for many years. This deal further strengthens our association. Saxo Bank makes investing and trading globally accessible to the everyday investor through simple, cost-effective and user-friendly tools. These tools are being used by some of the most substantial institutions in South Africa to solve for their client needs.”
Kim Fournais, CEO of Saxo Bank, is confident that clients will be well taken care of.
“The sale is part of our strategy to go deep in certain key markets ourselves and be present in other markets through strong partnerships. We have worked with Sasfin for many years and we are confident that clients will continue to experience the same well-known service and expertise. Through the relationship, clients will continue to benefit from our innovation and have access to the same broad product range and platforms as they are used. By leveraging our technology and Sasfin’s strong local presence we create a true win-win.”
The exit from the South African FX business will see Saxo Capital Markets South Africa (SCMSA) being handed to Sasfin Holdings, a South African bank holding company. Sasfin has agreed to acquire an indirect minority stake in SCMSA from Saxo Bank. Sasfin’s management team, led by CEO Richard North, will take the majority stake of the business.
Richard North, Head of Saxo Capital Markets South Africa, commented the milestone in areas of growth and distribution.
“Sasfin is a very strong partner with a rich legacy in the local South African financial services sector and investing in Fintech businesses. We look forward to investing heavily in local infrastructure and development. We are equally excited about Sasfin’s recent empowerment transaction with WIPHOLD. Through WIPHOLD’s 25,1% shareholding, Sasfin is one of the most empowered banking groups in South Africa in terms of ownership.”
Collaboration between Saxo Bank and SCMSA will continue, including the same offering of platforms and products. All sides agree that the deal constitutes an opportunity to grow SCMSA further as the operation will leverage the strengths of all parties and new investment will facilitate broader trade within local financial markets. SCMSA will see no change in their legal and contractual basis with Saxo Bank.
Reporting by Rick Steves. Filed 18 April 2018, 09:56 GMT.
Senior Reporter, Regulation and Fintech
Rick Steves has seen business and economics through many lenses. He joined the financial services industry in 2009, and has been a financial journalist since 2011.
