GAIN Capital, a global provider of online trading services, today announced it has signed an agreement to acquire Open E Cry, an online futures broker, from optionsXpress Holdings, Inc. a subsidiary of The Charles Schwab Corporation.
Founded in 2002, OEC offers direct market access to global exchanges through its proprietary software platform, OEC Trader. This platform allows OEC’s client base of high-volume traders to access the futures, options and forex markets all from a single interface.
“This acquisition represents a steady stream of fee-based revenue and is in keeping with our objective of broadening the range of products we offer to our retail and institutional customers,” said Glenn Stevens, CEO of GAIN Capital. “Futures and related exchange-traded markets are a natural fit with GAIN’s existing forex offering.”
As of March 31, 2012, OEC held $98.3 million in customer assets, with approximately 7,856 open accounts. OEC’s revenue was $13.6 million for the fiscal year ended December 31, 2011.
OEC was founded in 2002, and later acquired by optionsXpress in 2008. Subsequently, optionsXpress was acquired by Charles Schwab in 2011.
“GAIN Capital is a great fit for Open E Cry,” said Rick Tomsic, president and founder of Open E Cry. “This business combination will provide a tremendous opportunity for us to accelerate Open E Cry’s growth by leveraging GAIN Capital’s robust infrastructure and global footprint.”
The Company anticipates the transaction to close during the third quarter, and expects it to be accretive in FY 2012. OEC will continue to operate as a separate brand and its management team will remain in place.
Any word on how much they paid?