StoneX AKA INTL FCStone Completes Acquisition of GAIN Capital

StoneX Group has completed the acquisition of GAIN Capital Holdings, the online provider of retail foreign exchange trading and related services. According to the merger deal, the firm would acquire GAIN for $6.00 per share in an all-cash transaction representing approximately $236 million in equity value. The firm would also make an offer at closing to repurchase GAIN’s $92 million convertible notes due 2022.

The merger agreement was made while StoneX was still known as INTL FCStone. The rebranding took place in late June 2020. The provider of execution, post-trade settlement, clearing, and custody services rebranded to carry forward the foundation established by Saul Stone in 1924.

Regarding the rebranding, StoneX CEO Sean O’Connor said: “Our firm has experienced transformational growth in recent years – in terms of the breadth and depth of our offering, our technology platforms and our global client base. This re-brand will help us better define and communicate our strategic focus on driving innovation and digitalization in the global markets going forward. Our transition to the StoneX brand signals an exciting new phase for our company and our clients. We owe all of our success to our clients, and we will continue to put them at the center of everything we do as we pursue our goal of becoming recognized as a best in class financial services franchise.”

Regarding the acquisition of GAIN Capital, CEO O’Connor, said: “This is the beginning of an exciting new era for our company as we add two of the largest and best known retail financial-services trading brands in the world to our global financial services network, in the process more than doubling the number of active retail accounts we serve to 295,000 worldwide. We expect the integration of GAIN’s businesses to drive transaction volumes and create new cross-selling opportunities across all of our platforms – ultimately driving our financial performance in the process.”

GAIN Capital is a provider of trading technology and execution services to retail and institutional investors worldwide, with multiple access points to OTC markets and global exchanges across a wide range of asset classes, including foreign exchange, commodities and global equities.

Glenn Stevens, Chief Executive Officer of GAIN Capital
Glenn Stevens, Chief Executive Officer of GAIN Capital

Glenn Stevens, CEO of GAIN, commented on the transaction: “As a result of this combination, GAIN’s customers will benefit from a richer product offering, as well as the expanded resources and greater scale of the combined firm. StoneX, in turn, will add a new digital platform to its global financial network, significantly expanding its offering to retail clients, as well as a complementary futures business.  We look forward to a bright future as part of the StoneX Group.”