United Fintech, an outfit dedicated to hoovering up a stable of capital markets fintechs, has acquired a 25% stake in trading analytics outfit FairXchange with the intention on gaining full ownership.
Trading firms use FairXchange’s analytical tools to facilitate data-driven dialogue with their counterparties, bringing clarity and transparency to execution performance through the provision of independent data.
Financial terms of the deal were not disclosed but United Fintech says that it is the first transaction in a multi-stage acquisition towards full ownership.
Launched a year ago, United Fintech, has set its sights on buying up a slate of capital markets fintechs and helping them sell their products and services to the world's big financial institutions.
The company boasts it is working to "save big banks for Big Tech", offering them a one-stop-shop for technological innovation.
With more than 100 employees in Copenhagen, London, New York, Berlin and Romania, the firm has already completed three acquisitions, with FairXchange joining German company TTMzero and Danish fintech NetDania.
Christian Frahm, CEO, United Fintech, says: "The next 10 years is all about speed for the banks. And they no longer have the luxury to do it by themselves. Banks need partners.
"United Fintech unites founders of the most innovative fintech businesses globally and brings them to the big banks under one central umbrella - an innovation platform where banks feel comfortable taking risk on new products; so that they can faster and more seamlessly onboard new technology. And the acquisition of FairXchange is a great example of doing exactly that."