With the purchase, Saxo will now service around 860,000 clients, up from its previous 220,00 and around $65.5 billion (€46 billion) in client assets, more than double its prior $25.5 billion.
Saxo Bank said by gaining scale, reducing cost and complexity, it can continue its investments in digitisation and expand its product offering, with more platforms and services. Both Saxo Bank and BinckBank are working on the integration of the two companies, planning to share technology infrastructure.
Under the settlement, Saxo Bank holds shares representing 95.41 per cent of the aggregate issued and outstanding share capital of BinckBank on a fully diluted basis. Saxo Bank is gearing to initiate the buyout procedure.
Both parties intend to procure the delisting of BinckBank shares in Euronext Amsterdam as soon as possible.
The bid for the takeover began in December.
Kim Fournais, chief executive and founder of Saxo Bank said the acquisition was a win for all parties, clients, employees, shareholders and markets the two companies operate in.
“The investment and trading industry is undergoing a major transformation facing new regulation, rising expectations for better digital client experience, ongoing margin compression and a great need for multi-asset trading capabilities,” Mr Fournais said.
“These trends call for scale, and the successful acquisition of BinckBank is a quantum leap forward in terms of creating scale which is crucial for our long-term success.
“By joining forces, we have what it takes to become the leading global provider of state-of-the-art multi-asset trading and investment solutions.”
BinckBank CEO Vincent Germyns said the merger was an important milestone toward his bank’s 20th anniversary.
“Strong support from both shareholders and regulators shows that we made the right decision to join forces,” Mr Germyns said.
“Thanks to Saxo Bank we can further expand our product range and offer more intuitive platforms in the future. That is how our customers will benefit from Saxo Bank’s leading position in trading and investment technology and services.”
Headquartered in Copenhagen, Saxo Bank has more than 1,500 staff across the world, including in Australia. It reported its platforms are used by more than 100 institutions globally.
BinckBank, which offers investment, asset management and savings services, has local branches across Belgium, France, Italy, as well as representation in Spain.
Sarah Simpkins is a journalist at Momentum Media, reporting primarily on banking, financial services and wealth.
Prior to joining the team in 2018, Sarah worked in trade media and produced stories for a current affairs program on community radio.
You can contact her on [email protected].