Copenhagen based Retail FX and CFDs broker Saxo Bank has announced the successful completion of its transaction involving the sale of Saxo Geely Tech Holding A/S (Saxo Fintech) to Geely Financials Denmark. All relevant agreements have been duly signed, formalising the closing of this transaction.

The unwinding of the Saxo-Geely joint venture, which focused on business in China, was first announced by the parties in June. We understand that the agreement to exit the JV is part of operationally separating Geely and Saxo, as China-based Geely looks to unload its overall position in Saxo Bank. Saxo had announced plans to go public last year via a SPAC merger which would have given Geely the opportunity to monetize some of its position in the company, but the Saxo Bank IPO deal was ultimately cancelled. We also reported earlier this year that Saxo is still eyeing a more traditional IPO on the Nasdaq Copenhagen stock market.

As part of this transaction, Saxo Bank receives its own shares in return – equivalent to approximately 2% of the outstanding Saxo Bank shares.

Following the closing of this this transaction, the ownership structure of Saxo Bank is as follows:

• Geely Financials Denmark: 49.88%
• Fournais Holding: 28.09%
• Sampo/Mandatum: 19.83%
• Minority shareholders: 2.20%

The divestment of the Saxo Geely Tech Holding (Saxo Fintech) shares marks the end of Saxo Bank’s ownership of the Chinese Joint Venture, allowing the bank to optimise its business operations and focus on core markets and clients.