SGX acquires FlexTrade FX platform for $125 million

SGX’s proposed acquisition of MaxxTrader for $125 million from FlexTrade Systems follows its acquisition of the remaining stake in BidFX in June last year.

Singapore Exchange (SGX) has agreed to acquire the FX trading platform from FlexTrade Systems, MaxxTrader, for $125 million in a bid to further expand its FX remit. 

The transaction, which is expected to be completed by December, will accelerate SGX’s ongoing plans to build an FX ecosystem and marketplace that offers access to clients globally looking to trade over the counter (OTC) and on-exchange currency derivatives.

MaxxTrader is a turnkey FX trading platform designed to allow sell-side institutions to privately manage and issue price information to clients and the market. It allows orders to be traded directly with the trading desk or with liquidity providers as a multi-dealer platform for hedge funds. 

SGX said its strong sell-side client base complimented the buy-side clientele of BidFX, which it agreed to acquire the remaining stake of for $128 million in June last year. The exchange added the combined offerings of MaxxTrader and BidFX would enable it to create an FX ecosystem connecting the buy- and sell-side.

“Our next step is to offer clients a full suite of FX futures and OTC solutions, by building a primary FX OTC marketplace anchored in Singapore,” said Loh Boon Chye, chief executive officer at SGX.

“In turn, this would accelerate our vision to create fungible and convenient access for diverse, global customers to different pools of liquidity under one integrated platform on SGX, and build Asia’s largest one-stop venue for international FX OTC and futures participants.”