CFDs Broker Axi Loses Safewealth Bid to AUD 65M Offer by Syfe

Axi, a contracts for differences (CFDs) broker in the retail space, has lost its bid to acquire the Australian trading platform SelfWealth, which is now set to be bought by Singapore-based investment platform Syfe in an AUD 65 million all-cash transaction.

A Three-Way Fight for Safewealth

Financemagnates.com earlier reported that Axi offered 23 cents per share to acquire SelfWealth, which would have made it a AUD 52 million deal. Another bidder for the Aussie platform was local Bell Financial Group, whose per-share bid was undercut by Axi by 1 cent.

The AUD 65 million offer was at a 133 per cent premium to Safewealth's last closing price of 12 cents on 12 November 2024, the day before the first bid by Bell Financial was submitted.

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Selfwealth shareholders approved Syfe's offer today (Tuesday). As per the terms, the transaction is expected to be completed by 7 May, once conditions such as court approvals are met or waived.

Further, Selfwealth will be delisted from the Australian Securities Exchange and will operate under the name Selfwealth by Syfe. Syfe operates its wealth management platform across Australia, Singapore, and Hong Kong.

“Selfwealth’s strong user base and credibility in the Australian market make it a natural strategic fit for Syfe,” said Syfe Founder and CEO, Dhruv Arora, adding: “We believe now is the time to strengthen our presence in Australia.”

“Australia’s Most Popular Low-Cost Trading Platform”

SelfWealth, which promotes itself as “Australia’s most popular low-cost trading platform,” offers trading in shares listed on exchanges in Australia, the United States, and Hong Kong. It has about 129,000 active Australian investors and AUD 10.7 billion in funds under administration.

Founded in 2012, SelfWealth went public in 2017. In the fiscal year ending 30 June 2024, it generated revenue of AUD 27.6 million, with a net profit of AUD 3.4 million.

“As CEO, I am immensely proud of what has been achieved for both customers and shareholders, particularly over the last 18 months,” said Selfwealth CEO, Craig Keary. “With a refreshed Board and new leadership team, significant progress and success has been made in a short time as we transformed the business to meet changing customer demands.”