Please enable JavaScript in your web browser settings, under the site permissions section to unlock full site functionality. Click here for help.

Article Image - Playtech forays into FX trading market with $224 million buy

Posted 2nd July 2015

Playtech forays into FX trading market with $224 million buy

Gambling technology company Playtech is set to enter the forex trading market after agreeing a deal to buy a majority stake in TradeFX for 208 million euros ($224 million).

Scroll to keep reading

Playtech forays into FX trading market with $224 million buy

View Biography

View Biography

Gambling technology company Playtech is set to enter the forex trading market after agreeing a deal to buy a majority stake in TradeFX for 208 million euros ($224 million).

Playtech provides software used in sports betting and online casino and poker games and counts Betfair, William Hill and Paddy Power as its licensees.

TradeFX, a trading platform and payment services provider is majority owned by a trust for the benefit of Israeli billionaire Teddy Sagi, Playtech’s largest shareholder.

“We intend to offer TradeFX trading platform to all of Playtech’s licensees and other gaming companies, given the fact that the trading platform is complementary to gaming companies’ operations,” Playtech’s Chief Executive Mor Weizer told Reuters.

Playtech shares rose as much as 5% on Thursday morning, and were up 3.1% at 801p by 1022 GMT.

The deal is expected to generate both cost and revenue synergies and would help Playtech enhance its customer base and enter new markets as TradeFX operates in more than 100 countries.

The Isle of Man-based Playtech said it will buy a 91.1% fully-diluted stake in TradeFX, known for the brand markets.com, with an additional payment of up to 250 million euros based on future performance.

Markets.com provides foreign exchange and CFD (contract for difference) trading platforms, including the popular MetaTrader 4 platform.

The gambling industry is looking for ways to bolster growth through acquisitions in light of increasing taxes and regulations in some of its biggest markets.

Playtech is gaining the benefits of a partnership with British gambling company Ladbrokes to distribute all of its Live Games, across all platforms including desktop and mobile.

It also launched its casino products via the online site of Mexican gaming operator Grupo Caliente last year.

“With sustainable earnings growth and potential for earnings-accretive M&A, Playtech remains the top pick,” analysts at Exane BNP Paribas said.

Weizer said gaming remained the core business of Playtech.

Canaccord Genuity is the sole sponsor and a joint financial adviser for the deal while UBS Investment Bank is a joint financial adviser.

Categories: Finance, M&A

You Might Also Like

What to Do if You Can’t Make Your Business Loan

02/12/2021What to Do if You Can’t Make Your Business Loan

What To Do If You Can’t Make Your Business Loan There are a lot of moving parts to make a loan from your business. You have to meet all of these requirements and you need to do it fast. But not every company manages to obtain a business loan, even if the

Taking The Right Approach To Due Diligence When Acquiring A Business: Key Steps To Success

19/02/2020Taking The Right Approach To Due Diligence When Acquiring A Business: Key Steps To Success

Whilst not the most glamorous part of the process, due diligence is a key element of any acquisition. When expanded beyond a simple tick box exercise, due diligence can go a long way in determining the success of an acquisition. How can buyers successfully app

Is Your Recruitment Business Ready to Scale

23/12/2024Is Your Recruitment Business Ready to Scale

Scaling your recruitment business can be one of the most challenging but exciting times in your company’s journey. After working to establish yourself and a sustainable way of working, it’s time to take your approach and apply it to a larger busine

Business Elite 2016

31/07/2016Business Elite 2016

Stange Law Firm, PC is family law focused firm throughout Missouri and Illinois.

Care For Clients In Complex Cases

11/09/2023Care For Clients In Complex Cases

Westerberg & Partners is a Swedish boutique law firm handling complex disputes, often with an international angle. The firm is particularly strong in international arbitration, post-award proceedings and cross-border case work and has an excellent reputation f

North American M&A Volume Increased in November

15/12/2015North American M&A Volume Increased in November

There were 1,556 mergers and acquisitions (M&A) deals worth a combined USD 121,727 million targeting North American companies announced in November.

6 Ways to Reduce Accounting Errors In SMBs

03/02/20226 Ways to Reduce Accounting Errors In SMBs

For any business in general, accounting is a crucial part of operations. But for small- and medium-size businesses (SMBs) in particular, it’s an aspect that should be handled with utmost care. Given the size of the organization, even the slightest mistake co

The Power of Partnership

16/01/2023The Power of Partnership

A shared services organisation, U.S. Oral Surgery Management (USOSM) collaborates with premier oral and maxillofacial surgeons to offer a partnership solution for continued and accelerated practice success.

Workers Need to Learn How to Question AI, Not Just How to Use It, Says Skills Expert

23/09/2026Workers Need to Learn How to Question AI, Not Just How to Use It, Says Skills Expert

Workers need to learn how to question and check AI-generated information rather than simply how to use AI tools, as new figures show AI use is becoming increasingly common across UK workplaces.

View More Articles

Our Trusted Brands

Acquisition International is a flagship brand of AI Global Media. AI Global Media is a B2B enterprise and are committed to creating engaging content allowing businesses to market their services to a larger global audience. We have a number of unique brands, each of which serves a specific industry or region. Each brand covers the latest news in its sector and publishes a digital magazine and newsletter which is read by a global audience.

MORE BRANDS