Acquisitive French dealing systems vendor GL Trade is buying FNX Solutions, a US-based firm that supplies financial institutions with technology for the management and processing of capital market transactions. Terms of the deal were not disclosed.
Established in 1992, the Philadelphia-based firm also has offices in New York, London, Bangkok, Tokyo, Singapore and Taipei, as well as a development centre in Belgrade.
FNX's Sierra system offers full functionality for treasury and capital markets trading, position-keeping, risk management, settlements and reporting. The firm also offers a hosted service for hedge funds, called AspenHedge, that is designed to support all hedge fund products - including foreign exchange and equities to exotic options, fixed income and derivatives.
The firm is expected to report turnover of EUR11m for 2006 and predicts turnover growth of 25% per year over the next two years.
Following the acquisition, Farid Naib, founder and CEO of FNX, will become global head of GL Trade's capital markets front to back business line.
Commenting on the deal, Naib says: "Joining GL Trade will enable us to draw on the business network of one of the leading ISVs, with an excellent presence in continental Europe where FNX Solutions has not made deep inroads. FNX Solutions will benefit from GL Trade's international coverage, size and reputation which will allow us access to more ambitious client projects."
Pierre Gatignol, chairman and CEO, GL Trade, says: "This acquisition will perfectly round out our existing capital markets front to back offering, both in terms of functionality and geographically, specifically in the US and Asia."