XS.com has bolstered its operations in South Africa by acquiring locally licensed financial services provider Ubutyebi Financial Services. Announced today (Wednesday), the acquisition led XS.com to gain a license from the country’s Financial Sector Conduct Authority and set up a local entity, XS ZA.
South Africa - Gateway to an Untapped Continent
“With this acquisition, XS.com boldly charts its path to significant growth in the African continent, particularly in the South African market,” Wael Hammad, the Group Chief Commercial Officer at XS.com, said. “This move opens new opportunities and reinforces XS.com's position as a global leader in the online trading industry.”
XS.com offers forex and contracts for differences (CFDs) of several asset classes to retail and professional traders. Under the South African license, XS.com will offer services in the local market and across other African nations.
Established in 2010, XS has a presence across Europe, Asia-Pacific, and the Middle East. Apart from the newly gained South African license, the broker is licensed in Australia, Cyprus, and the Seychelles.
The South African license with the acquisition followed only a couple of months after the brokerage bolstered its team in the country, promoting Fabian Frantz to Business Development Director for South Africa.
“This milestone solidifies XS.com's dedication to advancing financial services in the South African market and beyond,” Frants said.
“We are excited about the opportunities 'XS ZA' brings, allowing us to tailor our offerings to meet the unique needs of the African clientele. Our commitment to innovation and client satisfaction remains unwavering, and we look forward to contributing to the continued growth of the financial landscape in the region.”
Road to Africa
Africa is a massive potential market for retail brokers but is mostly untapped. Now, brokers are establishing a presence in countries like South Africa and Kenya to expand their reach in the continent.
OnEquity, another FX and CFDs broker, recently gained a license from the South African authority. Vantage, Admirals, and XTB are other brokers that have obtained a South African license over the years.
