As a first transaction in a multi-stage acquisition towards full ownership, United Fintech has acquired a 25% stake in London-based FairXchange (the “Company”) for an undisclosed amount in a transaction integrating the Company, its products and employees onto its digital platform. Trading firms use FairXchange’s state-of-the-art analytical tools to facilitate data-driven dialogue with their counterparties, bringing clarity and transparency to execution performance through the provision of independent data. And according to United Fintech CEO Christian Frahm, FairXchange fits hand-in-glove with United Fintech’s strategy of acquiring state-of-the-art Capital Markets software products ready for scaling and global roll-out on United Fintech’s platform.
“FairXchange’s business critical, data-driven product, Horizon, is already being used by an extensive client base including a number of global financial institutions, and with the onboarding to United Fintech’s platform, we look forward to enabling FairXchange to continue its growth journey and scale with us. As United Fintech will onboard the Company’s clients and FairXchange will get an opportunity to grow within our clientele, this is a mutual win for both parties – and a milestone for United Fintech, completing its third transaction in just one year,” says Christian Frahm, noting that the acquisition won’t have any impact on everyday business for FairXchange’s clients or employees, adding that ahead of the transaction, United Fintech showed Horizon to six major global banks, aligning it with their product roadmaps.
From start-up to scale-up
Over the next few years, it is United Fintech’s ambition to complete multiple strategic acquisitions of ready-to-scale fintechs with proven Capital Markets products, positive cash flow and growth potential; to build a fintech “one-stop-shop” that global banks can benefit from – and become market leader in this niche. The ambition is to help big banks and financial institutions accelerate the implementation of innovative digital technology, and according to FairXchange’s Founder and CEO, former Morgan Stanley executive Guy Hopkins, United Fintech’s platform is the market’s most suitable candidate to fulfil that exact mission.