Marex acquires French ags broker Arfinco

Marex Group has acquired European agricultural broker Arfinco, marking the sixth takeover by the ambitious London-based broker in the past 18 months.

Marex said on Wednesday it has completed the acquisition of the French broker, one of the leading European ags brokers that also trades US and Canadian commodity derivatives. The terms of the deal were not disclosed.

Ian Lowitt, Marex’s chief executive officer, said: “Arfinco is an exceptional strategic fit for Marex in Europe. This adds a successful execution business in agriculturals that augments our existing market making capabilities in this space.”

Founded in 2006 in Versailles by Philippe Pierre and Bruno Chatenet, Arfinco trades Euronext, CME, CBOT and ICE futures and options on behalf of some of Europe’s largest commercial and non-commercial firms.

The acquisition builds on a relationship between the firms that can be traced back 16 years, over which time Marex has acted as an executing broker on behalf of some Arfinco clients.

Chatenet said: “This is an exciting development for Arfinco. Philippe and I have worked with Marex for over a decade we know the teams and we know the culture. This move makes sense for our clients and for our business, as we look to build even greater market share and allows us to expand our services.”

Arfinco becomes part of Marex’s global agricultural division led by Jonathan Parkman, head of Agriculturals Sales.

Marex said the deal will benefit both sets of clients as Arfinco customers can now benefit from Marex’s global platform while Marex clients can draw on Arfinco’s expertise in France, one of the largest European grain markets.

The Arfinco acquisition marks a strong start to 2022 for Marex and continues a strong acquisitive theme at the firm over the past 18 months.

Marex acquired softs broker Volcap Trading in September last year and oil broker Starsupply in March 2021. The group also acquired equity derivatives specialist XFA in November 2020, volatility market-maker BIP Asset Management in August 2020 and metals market-maker Tangent Trading in March that year.

Marex cancelled in June last year its planned listing on the London Stock Exchange due to “challenging IPO market conditions”.