FXCM made a bid for GCAP, they see value and could return with a higher bid for GCAP. GCAP has since become even more attractive by acquiringGlobal Futures & Forex (GFT), a provider of retail forex and derivatives trading.
The merger diversified GCAP's revenue base. Most of GCAP's revenue came from retail clients while more than 75% of GFT's trading volume comes from partners. The combined company sources about 52% of its retail volume from partners, with the remaining 48% coming from direct retail clients. In addition, GFT's growing Sales Trader business, which accounted for 40% of GFT's total trading volume in 2012, fits well with GCAP's institutional execution desk, providing a substantial opportunity to expand the company's institutional business.
The combined company has a deeper global footprint, a robust offering of more than 12,500 financial products, and industry-leading trading platforms and tools. The larger scale will also enhance GCAP's ability to take advantage of improved market conditions, while providing greater resilience at times of weak volatility.