ThinkMarkets plans to go public through a SPAC merger deal

ThinkMarkets, a brokerage company based in Melbourne, has announced plans to go public through a merger deal with a Canadian blank-check company, FG Acquisition Corp. The merger deal has valued ThinkMarkets at $160 million on a pre-money basis.

ThinkMarkets set to go public

This merger deal will be instrumental to the growth of ThinkMarkets, given that the brokerage company has been reporting positive revenues of late. In 2022, the broker reported revenues of $62 million.

After the merger deal closes during the second half of 2023, the company will run as ThinkMarkets Group Holdings Limited. The company’s stock will be listed on the Toronto Stock Exchange.

The Chief Executive Officer at FGAC, Larry G. Wets, Jr, commented on the deal, saying that the company was pleased to have closed this acquisition deal to its shareholders, adding that ThinkMarkets provided a compelling investment opportunity across the multi-asset online brokerage platform by having a global presence.

“We are confident that the ThinkMarkets team is positioned to take leadership in this segment and has demonstrated a clear path for growth. We look forward to supporting Nauman and the ThinkMarkets team as they begin their journey as a public company,” the executive said.

After the merger deal closes, the existing management team at ThinkMarkets will continue serving different roles in the new company. The co-founder of ThinkMarkets, Nauman Anees, will be the new Chief Executive, while Faizan Anees will take over as President. Faizan and Nauman will also serve on the company’s board of directors.

Besides having this SPAC merger deal, ThinkMarkets has also announced plans for a private placement. To achieve this, it plans to raise up to $20 million by issuing convertible debentures.

The private placement announced by the company will offer funding to support the new growth strategy at the company, working capital, and general needs. The funds will also complement any remaining amount available on the FGAC escrowed funds. Currently, the funds in the account amount to around $117 million.

Multi-licensed brokerage company

ThinkMarkets, previously known as ThinkForex, is a multi-licensed online FX brokerage company that has been approved and regulated by the Financial Conduct Authority (FCA) and the Australian Securities and Investments Commission (ASIC).

The firm is also expanding its presence globally through a platform licensed in South Africa. It closed the acquisition of a forex firm based in Japan known as Japan Affiliate. This move will allow ThinkMarkets to provide services in Japan. Pursuing expansion in Asia and globally will be the key to the company’s growth.

In 2022, ThinkMarkets made headlines after raising $30 million in fresh funding. Mars Growth, a Liquidity Group and an MUFG joint venture fund led the funding round. The company’s UK business also saw significant growth after launching a new prime brokerage division under a brand known as Liquidity.net.