StoneX Group Inc. (Nasdaq: SNEX), which owns major retail FX trading brands like Forex.com and City Index, announced on Wednesday that it has increased the size of an existing senior secured credit facility from $401 million to $475 million.
Additionally, the latest amendment will extend the maturity of the instruments through April 2025.
The company will use the credit facility to finance its working capital needs and for its subsidiaries.
“Through increased support from our existing bank group as well as through a number of [new key] relationships, we are excited to announce the renewal and expansion of this important credit facility,” StoneX’s CEO, Sean O’Connor said in a statement.
“With the support of this expanded group of bank partners, we look forward to continuing to expand our product offerings to our growing client base in the years to come.”
The existing credit facility included $236 million in revolving credit facility and the rest of $165 million as a term loan. Now, the extended amount will be drawn as a part of that credit facility.
The lead arrangers of the credit facility were big names like Bank of America Merrill Lynch, Bank of Montreal and Capital One. Other participants include Signature Bank, CIBC Bank USA, BankUnited N.A, Arvest Bank, Bank of Hope, Barclays Bank and a few others.
Operating Some of the Major FX Brands
Formerly known as INTL FCStone, Stonex completed the acquisition of GAIN Capital in 2020, thus becoming the owner of two top retail FX brands, Forex.com and City Index. Moreover, the company bought the Irish fintech firm, Chasing Returns last year which offers behavioural science products to facilitate retail and professional traders.
Also, the company posted solid financials in its last quarterly results. For the three months between October and December, the company reported a 55 percent yearly jump in its revenue to more than $14.3 billion. Furthermore, net income jumped by 114 percent to $41.7 million.
