Banking services firm acquires City Forex in £6m swoop
Multicurrency payments and banking services company FairFX has acquired City Forex Limited in a multi-million pound deal.
FairFX paid £6m for the London-based business and expects the transaction to be immediately earnings enhancing.
City Forex’s services are based primarily on two key products; international payments and travel currency. It has three branches in the capital.
In its financial results for the 12 months to October 31 2017, the company reported a pre-tax profit of £300k against revenues of £4.4m.
Currently, City Forex’s international payments division services around 2,000 businesses and 8,000 private clients. Its travel currency arm, meanwhile, fulfils nearly 200k currency orders per annum.
The company has been a partner of FairFX since 2007.
Ian Strafford-Taylor, chief exec officer at FairFX, said: “The acquisition of City Forex is a key milestone in the evolution of FairFX and will immediately enhance the group’s earnings.
“City Forex is a long-standing partner of FairFX, we know the Company and its people well and we are delighted to welcome them into the FairFX Group.”
He added: “This transaction fits perfectly with our stated strategy as it increases our scale, rationalises our supply chain and brings their innovative system within the group.”