XX ZW Investment Group, a private investment firm owned with a majority share (81.97%) by Jakub Zablocki, the Co-Founder of XTB, on May 10th sold 7 million of his shares in the Polish FX/CFDs brokerage. The sale amounted to about $64 million at zł38 per share, which is the price range XTB shares sold for on that day.

XTB disclosed the share sale on Tuesday in a notification sent to the Polish Financial Supervision Authority (KNF), noting that the transaction was settled on May 12th. The sale brings XX ZW’s share capital of XTB to 61.02% or 71.3 million shares.

XX ZW, also owned 18.03% by Hubert Walentynowicz, who previously held 78.6 million shares or 66.99% of XTB. These shares are publicly listed on the Warsaw Stock Exchange.

XTB Sees Record Profit

The share sales come at a time of financial buoyancy for XTB. During the first quarter of 2023, the broker’s consolidated net profit rose 20% year-over-year to EUR 64.4 million. In fact, compared to the last quarter of 2022, the figure jumped fivefold.

XTB attributed the performance to high volatility in financial and commodity markets driven by geopolitical tensions and banking crises. The brokerage also said its strategic marketing initiatives significantly contributed to a substantial increase in client numbers and transactional activities.

During the quarter, XTB reported a growth of 46.1% YoY in new client base with the figure doubling when compared quarter-over-quarter. In more detail, XTB attracted 104,200 new clients during the period, bringing its total clientele to 703,900.

XTB Looks Beyond CFDs

Despite this growth, XTB is seeking new clients outside the CFD market. Omar Arnaout, the CEO of XTB, during a recent earnings conference said that the brokerage plans to introduce a new "investment-savings" product by year-end.

"We aim to expand our product offerings to reach a broader range of clients," Arnaout said, adding that: "New products are crucial for us to break the barrier of 40-55 thousand new accounts."

“Only new products, coupled with strong marketing efforts, can achieve this goal," the CEO added.

Meanwhile, last month, XTB expanded its offerings to include fractional shares and exchange-traded funds. The brokerage told Finance Magnates that the service had already been made available to customers in several European countries, with plans to roll out in more jurisdictions, including Poland and Spain, during the second quarter of this year.

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