Artis Partners Launches With Its Team Advising on the £160 Million Sale of Freetrade to IG Group Holdings
The transaction highlights the investment bank’s commitment to supporting technology companies seeking a strategic exit via M&A
A deal team at Artis Partners, the newly formed sell-side M&A and growth financing specialists for technology companies, has advised on the pending £160 million sale of self-directed investment platform Freetrade to IG Group Holdings (IG), a world leader in derivatives trading and an established member of the FTSE 250. The deal, which values Freetrade at almost six times its 2024 revenue, is an all-cash transaction to the company’s shareholders.
Since its launch in 2018 when Freetrade pioneered free share trading in the UK, it has grown into a leading self-directed investment platform for UK investors, particularly those focused on longer-term investing via tax wrapper products and seeking US equity exposure. It has grown since its launch in 2018 to 720k customers and £2.5bn in AuA.
IG will operate Freetrade as a commercially standalone business with its own brand, existing management team and operational platform to support the successful execution of the strategy. Viktor Nebehaj, CEO and co-founder, and the leadership team, will remain with Freetrade and continue to scale the business. The combination creates a full-service investment destination for UK consumers trading in the capital markets.
The deal was led by Artis Partners Managing Partner Stephen Bachmann (ex-Broadview and DAI Magister) during his tenure at both DAI Magister and Artis. The transaction marks the launch of the investment bank, spearheaded by Bachmann and fellow Managing Partner Victor Basta (former co-head of Broadview, founder of Arma Partners and DAI Magister) and Dorian Maillard (formerly of DAI Magister and Silverpeak)
Commenting on the sale, Bachmann, said: “Our team is immensely proud to have assisted Freetrade’s board in what we hope will be, the first of many such deals as Artis Partners gains momentum. IG’s acquisition of Freetrade reflects the state of play in the wealth management sector, with younger customers seeking more control over their investments having developed a digital relationship with money.
“This intergenerational shift has made once pioneering fintech startups like Freetrade, after a decade of development, attractive acquisition targets for incumbents looking to expand their offerings to a younger customer base.”
Breon Corcoran, CEO at IG, continued: “This is a rare opportunity to strengthen IG’s UK trading and investments offering and broaden our target addressable market. Freetrade is one of the most successful emerging players in the UK direct-to-customer investment market, with a strong brand, highly scalable technology and delivering rapid growth. I am delighted that Viktor and his team will join IG and continue to lead Freetrade.”
Nebehaj added: “This is an exciting opportunity to accelerate our growth and delivery of new products and features on our award-winning platform. IG’s vision for Freetrade is closely aligned with our own and its backing will be of huge benefit as we continue to scale the business.”
Artis Partners was launched with the aim of achieving deeply prepared strategic exits for US and European technology companies. The firm will prioritise key tech sectors, including AI, helping organisations at the cutting edge of this burgeoning industry scale at speed and maximise valuations.
Commenting on the investment bank’s launch, Basta concluded: “Founding Artis Partners is a strong indication of the team’s commitment to the technology market and belief in the long-term growth in value and potential of emerging companies now leveraging technology and AI to accelerate. Having previously founded three successful investment banks, Stephen, Dorian and myself are looking forward to channelling all of our experience into establishing Artis Partners as a leading financial force in the European and US technology markets.”