Exclusive: GCM Prime bought by Chinese investor, rebranded as EC Markets
FNG Exclusive… FNG has learned that London based Chinese entrepreneur Xiaoliang Lyu has acquired FCA regulated GCM Prime Ltd and its assets. The business has been renamed EC Markets, and after recently (re)launching an online brokerage business the company plans to market actively starting later in Q1/Q2.
The revamped EC Markets plans to focus mainly on professional and institutional traders in the UK and the Far East.
The new ownership has brought in experienced FX industry executive Matthew Smith as CEO of the (re-)newed operation. Matthew Smith has worked in a variety of sales, trading and operations roles at a number of known Retail and Institutional FX brands dating back to 1999 including City Index, Cantor Fitzgerald (where he was Head of CFD Trading), LCG, ETX Capital, X Open Hub, Finsa Europe, Eagle Global Markets, Steeleye, and most recently Valbury Capital.
GCM Prime was controlled by Salvatore Buccellato, now CEO of Delkos Research which provides retention analytics and engagement tools to brokers in the Forex and Futures industry. Mr. Buccellato ran offshore (BVI based) Retail FX brokerage Gallant Capital Markets Ltd under the GCM-FX banner, and in 2015 acquired an inactive FCA regulated brokerage called Alum FX, renaming it GCM Prime, with the plan to make GCM Prime the institutional arm of the overall operation.
In the end, GCM Prime got caught up in the 2017 bankruptcy of the BVI company (the Gallant bankruptcy is still being adjudicated in US bankruptcy court), and in late 2017 GCM Prime stopped taking on clients, remaining basically dormant since until being acquired by Mr. Lyu and his group.
We would note that there is no remaining link between Mr. Buccellato and his old GCM operation, and the new EC Markets, other than that the new investor group has assumed the old company’s FCA license, infrastructure, and some banking and liquidity relationships which makes it much easier and more efficient to launch a new brand.
FNG spoke with CEO Matthew Smith, who had the following to say:
“We are delighted Mr. Lyu has completed his acquisition of EC Markets Group Ltd. Having re-started the brokerage last year we are looking forward to 2021 with a new team, a new website and exciting growth plans.”