Technology Crossover Ventures (TCV), a leading provider of growth capital to technology companies, has agreed to purchase a minority stake in FXall for USD 77.5 million.
FXall is a market leader in online FX and its volumes have grown every quarter since inception. In Q2 this year, total trading surpassed USD 2.4 trillion, up 50% on Q2 2005. This investment will accelerate growth while supporting FXall's core strategy of providing asset managers, banks, broker-dealers, corporations and hedge funds with foreign exchange execution and post-trade services as well as deep liquidity across all currency pairs.
As part of the refinancing TCV partners Henry Feinberg and Robert Trudeau will join FXall's board. FXall welcomes the additional expertise their appointment will bring.
'TCV has a track record of taking successful businesses to their next phase of growth and FXall welcomes the expertise they bring to the board,' says Phil Weisberg, CEO of FXall. 'The confidence TCV has shown in our business model and performance is a firm endorsement of our market-leading position and future prospects for long-term growth. This investment will fuel continued development of new products and services, enabling us to deliver an even more comprehensive offering to our customers.'
Robert Trudeau, a general partner of TCV, adds: 'FXall is unique in the online FX space. We have been following the company for a number of years and have been impressed by its performance and business model. FXall's diversified client base and comprehensive service offering make it well positioned to benefit from further growth in online trading.'
Cyril Cottu, co-head of FX sales, Europe, Goldman Sachs International, and chairman of the FXall board, says: 'FXall has grown and delivered beyond expectations since its launch five years ago. This investment bears testament to the strength of the management team and the future potential that will be unlocked by opening up the shareholder base. TCV is a strategic investor with a proven track record in helping drive growth in companies at this stage in their lifecycle and we fully expect FXall to continue to deliver strong growth following this investment.'
Closing is expected to occur next month.