The deal, the value of which the parties have not officially commented on, is estimated to be in the hundreds of millions of dollars. The acquisition is still subject to regulatory approval, but its completion could take FTMO's business to a new level. FTMO has become known for its innovative approach to trading in the financial markets, allowing traders to use simulated capital and earn rewards based on successful trades.

Oanda, founded in 1996 in Canada, has grown over the years into a global player in the forex trading industry. The company has undergone a significant transformation under the leadership of investment group CVC Capital Partners, which has owned it since 2018. During this time, Oanda has invested in technology and expanded its range of tradable assets, including equities, commodities and cryptocurrencies. CVC has now decided to sell Oanda and FTMO sees it as a strategic growth opportunity. Upon completion of the acquisition, FTMO plans to maintain Oanda as a standalone entity, while leveraging its regulated status and technology background.

The entire prop trading sector in which FTMO operates has experienced rapid growth and consolidation in recent years, with larger players absorbing smaller companies. However, the acquisition of Oanda is unique in that a modern prop trading firm is buying a traditional broker. This gives FTMO access to regulated markets and opens up the possibility of linking its successful traders to Oanda's real accounts.  For now, FTMO has indicated that it plans not to interfere with Oanda's structure and to maintain its status as a standalone group once the transaction is completed.

Source: CzechCrunch

Author: CzechTrade Toronto