INTL FCStone Inc. (NASDAQ:INTL), a provider of financial-services execution, risk management, market intelligence, and post-trade services, said in a filing to the US Securities and Exchange Commission it plans to rebrand its business as StoneX Group Inc., subject to the shareholders’ approval.
Explaining the rationale behind the initiative, INTL FCStone said its current name reflects the merger between International Assets Holding Corporation and FCStone Group, which took place in 2011. Operating under the same brand for over nine years, the company’s board ‘desires’ to adopt a new corporate name as part of a global rebranding initiative.
“The new name will be more distinctive, and easier to remember and pronounce, than the existing name. The new name also includes aspirational elements that are strategically important to the Company, such as digitizing the Company’s platforms and driving innovation in the marketplace,” it said.
The rebranded entity will encompass all of INTL FCStone’s regulatory profiles around the globe. With no significant action needed by clients and partners, the company says its new name preserves “significant brand equity” as “Stone” embodies the oldest part of the company’s franchise and “X” evokes exchange, digitization and innovation.
INTL FCStone Financial, through its subsidiaries, is a provider of execution, risk management and advisory services, market intelligence, and clearing services. The origins of the company date back to 1924, and currently serves institutional clients by providing them with access to blue chip international securities and ADRs.
In 2018, INTL FCStone traded over $49 billion in value OTC, which was 60% higher than the closest financial services firm and accounted for 16% of the total OTC value reported.
The change will be fairly subtle, although all existing client and partner accounts will automatically transition to the new brand.
Earlier this year, INTL FCStone Inc. agreed to acquire GAIN Capital in an all-cash deal valued at about $236 million.The transaction is set to be completed in mid-2020, subject to approval by GAIN’s stockholders and regulators, as well as other customary closing conditions. Under the agreement, GAIN Capital will be required to pay INTL FCStone a termination fee of $9 million if the deal is terminated under certain circumstances