AxiCorp Shows Interest In Acquiring SelfWealth With AUD 52 Million Bid
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
AxiCorp Financial Services, a company running a retail contracts for differences (CFDs) brokerage under the brand Axi, has shown interest in purchasing the Australian trading platform SelfWealth. According to reports, Axi submitted a bid of 23 cents per share, valuing the deal at AUD 52 million (USD 34 million).
A report revealed that Axi’s bid competes with an earlier offer from Bell Financial Group, which had bid 22 cents per share. This shows that Axi’s proposal surpassed Bell’s by just 1 cent, intensifying the competition.
AxiCorp Competes With Bell Financial In Bidding War For SelfWealth
SelfWealth, a public company in Australia, saw its share prices rise sharply during the bidding war. Reports stated that the shares more than doubled after Bell Financial’s offer was announced.
Bell’s bid already represented a significant premium over SelfWealth’s earlier market value of 12 cents per share, which was recorded at Tuesday’s market close.
The SelfWealth board informed shareholders about Axi’s proposal, stating, “Axi has indicated that it is ready to negotiate and sign a binding deal quickly. This offer is not dependent on due diligence or financing conditions.”
The board also reminded shareholders that no action is needed at this stage. It noted that neither proposal is guaranteed to result in a binding agreement. SelfWealth added that it would keep investors updated on any developments, as required by its disclosure rules.
SelfWealth promotes itself as one of Australia’s top low-cost trading platforms, offering access to shares listed in Australia, the United States, and Hong Kong. Reports highlighted that the platform has about 129,000 active Australian investors managing AUD 10.7 billion in funds.
AxiCorp Expands Global Reach And Enters Proprietary Trading Market
SelfWealth started in 2012 and became a public company in 2017. The platform earned AUD 27.6 million in revenue during the financial year ending 30 June 2024. The company also achieved a net profit of AUD 3.4 million for the same period.
Meanwhile, Axi is a global provider of CFDs trading services and is led by CEO Rajesh Yohannan. According to reports, Axi operates under licences in countries like Australia, the UK, the UAE, St Vincent, and the Grenadines.
Recently, Axi revealed plans to expand its presence with a new office in India, which will focus on technology and product development.
Additionally, Axi is broadening its services by entering proprietary trading. Reports noted that Axi is among the first CFD brokers to allow live trading for prop traders, challenging the usual demo account model often seen in the industry. Experts believe this could signal a shift in how the prop trading market operates.
