Sasfin and current management of Saxo Capital Markets South Africa (SCMSA) to acquire SCMSA from Saxo Bank
Sasfin Holdings Limited (Sasfin), Saxo Bank A/S (Saxo Bank) and the management of SCMSA are pleased to announce that Sasfin and the management of SCMSA have agreed to acquire SCMSA from Saxo Bank, subject to the fulfilment of certain conditions precedent. Following the implementation of the deal, the parties will continue to collaborate, leveraging Saxo Bank’s unique technology and global market access. Clients of SCMSA will therefore continue to have access to the same broad product range and platforms as they are used to.
Saxo Bank, headquartered in Copenhagen, Denmark, is a leading multi-asset trading and investment specialist Fintech bank, with clients in more than 170 countries.
Sasfin, a diversified business and wealth banking group, works with various global custodians and trading platforms to manage global investment portfolios for private and institutional investors, and will hold an indirect minority stake in SCMSA.
The combination of Sasfin, Saxo Bank and SCMSA provides an opportunity to grow SCMSA further through the extraction of the meaningful synergies that exist between all the parties. In addition, an investment into SCMSA will lead to the facilitation of broader trade within the South African financial markets.
Current clients of SCMSA will see no change in their legal and contractual basis with Saxo Bank and SCMSA, providing continuity of business. As Saxo Bank drives its open architecture strategy, current and potential clients will see an enhanced user experience for the local financial markets incorporating regulatory reporting and market data management.
According to Michael Sassoon, CEO of Sasfin, SCMSA enables investors to access global markets seamlessly:
“Sasfin has been working with Saxo Bank for many years. This deal further strengthens our association. Saxo Bank makes investing and trading globally accessible to the everyday investor through simple, cost-effective and user-friendly tools. These tools are being used by some of the most substantial institutions in South Africa to solve for their client needs.”
Kim Fournais, CEO of Saxo Bank commented:
“The sale is part of our strategy to go deep in certain key markets ourselves and be present in other markets through strong partnerships. We have worked with Sasfin for many years and we are confident that clients will continue to experience the same well-known service and expertise. Through the relationship, clients will continue to benefit from our innovation and have access to the same broad product range and platforms as they are used. By leveraging our technology and Sasfin’s strong local presence we create a true win-win.”
According to Richard North, Head of SCMSA, the transaction represents a milestone in areas of growth and distribution, as the business seeks to gain further critical mass in the local market.
“Sasfin is a very strong partner with a rich legacy in the local South African financial services sector and investing in Fintech businesses. We look forward to investing heavily in local infrastructure and development. We are equally excited about Sasfin’s recent empowerment transaction with WIPHOLD. Through WIPHOLD’s 25,1% shareholding, Sasfin is one of the most empowered banking groups in South Africa in terms of ownership.”
About Sasfin Holdings
Sasfin is a bank-controlling company listed in the “Financials: Investment Services” sector of the JSE Limited (“the JSE”). Sasfin and its subsidiaries provide a comprehensive range of specialist financial products for Business and Wealth clients.
About Saxo Capital Markets South Africa
SCMSA is a fully owned subsidiary of Saxo Bank, domiciled in Denmark. Saxo Bank is a leading Fintech specialist focused on multi-asset trading and investment and delivering ‘Banking-as-a-Service’ to wholesale clients. Saxo Bank’s award-winning trading platforms are available in more than 20 languages and form the technology backbone of more than 100 financial institutions worldwide.
Issued on: 16 April 2018
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Saxo Bank Group (Saxo) is a leading Fintech specialist focused on multi-asset trading and investment and delivering ‘Banking-as-a-Service’ to wholesale clients.
For 25 years, Saxo’s mission has been to democratize investment and trading, enabling clients by facilitating their seamless access to global capital markets through technology and expertise.
As a fully licensed and regulated bank, Saxo enables its direct clients to trade multiple asset classes across global financial markets from one single margin account and across multiple devices. Additionally, Saxo provides wholesale institutional clients such as banks and brokers with multi-asset execution, prime brokerage services and trading technology, supporting the full value chain delivering Banking-as-a-Service (BaaS).
Saxo’s award winning trading platforms are available in more than 20 languages and form the technology backbone of more than 100 financial institutions worldwide.
Founded in 1992 and launching its first online trading platform in 1998, Saxo Bank was a Fintech even before the term was created. Headquartered in Copenhagen Saxo today employs more than 1500 people in financial centers around the world including London, Paris, Zurich, Dubai, Singapore, Shanghai, Hong Kong and Tokyo.