As first reported by Forex Magnates Japan, GAIN Capital’s Japanese Forex.com arm has acquired Planex Trade FX customer base. The move comes just as GAIN Capital’s CEO, Glenn Stevens, stated during the company’s earnings presentation on Monday that the acquisition pipeline remains open.
Despite some analysts questioning the M&A strategy of the firm, the company remains committed to take advantage of the overall FX market slowdown to boost its portfolio. According to the text of the Q2 earnings presentation by GAIN Capital, “M&A pipeline remains robust with several transactions in various stages of negotiations.”
The deal signifies that the efforts of Planex Trade on the FX market have not yielded the desired results after the company’s acquisition of the customer base of GFT back in 2012. At the time, GFT’s Japanese clients received an update informing them about the move and provided them with sufficient time to decide whether they would be interested to migrate.
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While additional details about the migration of services remain to be announced to the clients of Planex Trade, according to the announcement, the move should be seamless and not result in any disruption to the trading habits of the clients, as the Dealbook 360 platform will continue to be provided by Forex.com.
Planex itself is a holding company and was owned by the Forex trading business of Gaitame Japan until it was sold to DMM in August 2012.
Talking about M&A during GAIN Capital’s Q2 earnings call, Glenn Stevens elaborated, “We have a very robust pipeline, lots of active conversations, and it wouldn’t surprise me if we get one or more deals done this year. I think that’s part of our mix and our mantra internally to say that we have to be able to manage our operating metrics, manage our costs, and look for opportunities to build the overall platform over the footprint of our business.”