Singapore Exchange (SGX), has acquired a 20% stake in BidFX, including an option for additional shares to gain a controlling interest, for a total cash consideration of $25 million.
BidFX was spun off as a division of TradingScreen (TS), a provider of a multi-asset execution and order management systems, in January 2017. It offers a cloud-based, front-end trading platform aimed at helping hedge funds, traditional asset managers and regional banks trade, improve access to liquidity, generate alpha and simplify workflows. Its liquidity aggregation platform supports FX spot, swaps and forwards for G10 and Asian currencies.
SGX says that the investment is part of its strategy to build core pillars of growth across multiple asset classes, while BidFX indicates that it plans to utilise the funds to further grow its reach and offering among institutional investors.
Boon Chye Loh, CEO of SGX, who will join the board of BidFX, comments: “FX is one of our key growth pillars and we are excited to strengthen our service proposition to the market. With this investment, we have an opportunity to offer our suite of Asian FX futures alongside the over-the-counter (OTC) products offered on the BidFX platform, bringing together both pools of liquidity. We are confident that over time, they will establish themselves as a global e-FX platform and complement our fast-growing FX business.”
Jean-Philippe Malé, CEO of BidFX, says: “This capital investment enables us to enhance our expertise and products to deliver comprehensive FX trading coverage to market participants in one workflow management system.”
Pierre Schroeder, CEO of TradingScreen, adds: “We’ve been incubating BidFX inside TradingScreen, with demand for the most sophisticated FX trading and workflow solutions expected to grow significantly in the coming years. This investment strengthens BidFX’s leadership status across the global financial markets ecosystem.”