FXCM Inc. (NYSE:FXCM), a leading online provider of foreign exchange trading and related services worldwide, today announced that its U.S. subsidiary, Forex Capital Markets LLC ("FXCM U.S."), has signed a definitive agreement with FXDirectDealer LLC ("FXDD") to acquire their U.S. retail forex accounts ("FXDD U.S. Accounts").
FXCM will be acquiring approximately $27 million in client equity and seven thousand active FXDD U.S. accounts.
The FXDD U.S. Accounts will be transferred to FXCM U.S. on Friday May 16, 2014 after the close of trading. FXDD clients using the MetaTrader 4 ("MT4") platform will be transitioned to the FXCM MT4 platform and should see minimal changes in platform functionality. FXCM's upgraded MT4 platform integrates seamlessly with its No Dealing Desk forex execution.
"FXCM is dedicated to providing clients with award winning customer service, superior technology, and transparent No Dealing Desk forex execution, and we welcome the former FXDD clients to the FXCM network," said Drew Niv, CEO of FXCM.
FXDD will maintain its presence in the U.S. and its regional headquarters in New York City. In addition to providing forex services to international markets, the company will also work to enhance its institutional business.
"We are pleased to announce this transaction with FXCM, as it will allow us to focus our resources to expand our core international business," said Joseph Botkier, CEO of FXDD. "We are confident that FXCM will provide the same level of excellent service and trading environment that our account holders have experienced at FXDD."
Financial terms of the transaction were not disclosed.