Currencies Direct has raised 拢140 million in funding from Blackstone for a minority stake in the digital FX platform.
The London firm is behind one of the largest international payment platforms for private clients and SMEs with 拢105m in revenues and 拢43m of EBITDA for the 12 months ending January 2022.聽
Funds managed by Blackstone Tactical Opportunities have made the strategic investment, which will be made in partnership with Currencies Direct鈥檚 management team, led by Keith Hatton, and Palamon and Corsair. These existing investors will retain their majority co-controlling stake in the company.聽
The investment will fund acquisitive growth and concludes 鈥榓 series of successful dividend recapitalisations over the last 12 months鈥�.
In January the company completed a 拢235m senior refinancing with Pemberton Asset Management, which followed a March 2021 拢165m refinancing.
鈥淲e are pleased to welcome Blackstone as a strategic investor alongside our long-term partners Palamon and Corsair,鈥� said Hatton. 鈥淲e are confident Blackstone鈥檚 expansive resources and expertise will help fuel our growth as we build on our significant momentum.聽
鈥淭ogether with Palamon and Corsair, we have built a successful, sustainable, and innovative business with the knowledge, technology, and global footprint required to deliver best-in-class digital FX and international payment services.鈥�
Ali Rahmatollahi, partner at Palamon, commented: 鈥淐urrencies Direct has more than tripled EBITDA during our ownership to become one of the undisputed and most successful leaders in digital international payments in its core verticals.聽
鈥淲e have returned substantial capital back to our investors through this investment and are excited to be able to maintain significant exposure to the next phase of its development.聽
鈥淲e have step-change projects underway, the market opportunity is massive, and we continue to see an open runway for growth acceleration, both organically and through M&A.聽
鈥淎s such, we are delighted to partner with Blackstone to continue supporting the Company with added firepower to execute on those expansion opportunities.鈥�
The transaction is expected to close by the end of the first quarter of 2022.