Freedom Holding is going to purchase American Maxim Group

Timur Turlov acquires the American investment bank / Shutterstock

Freedom Holding Corp. is going to acquire Maxim Group LLC, an American financial organization, and its subsidiary Maxim Financial Advisors LLC for about $400 million in cash and common shares, according to Freedom Holding’s press service.

The holding representatives said that the deal will intensify the company’s international expansion started in December 2020, when Prime Executions was acquired. Once the deal is completed, Robert Wotzyak will lead Maxim Group as its executive chairman, while Clifford Teller will serve as CEO and Chris Fiore as president of the company.

«We are eager to expand our business globally. We understand that we have to be represented in the U.S. This is a key part of our strategy. The fundamental deal with Maxim Group will boost the development of our business in the U.S.,» Timur Turlov, CEO of Freedom Holding, stated.

According to Robert Wotzyak, he has huge experience working together with many representatives of Maxim, so he has no doubts that this team is bound to achieve rapid development of the business in many aspects. In turn, Clifford Teller, the president of Maxim Group, noted that resources of Freedom and synergy between its branches will allow Maxim to grow fast in all directions of its investment banking business.

Freedom Holding believes that the corporate and institutional influence of Maxim in Asia, Greece, Israel and Western European countries will contribute to the global expansion of the holding’s brokerage and distribution network. Moreover, the merging of the companies will provide clients with a big choice of financial products designed to meet a wide range of needs.

Maxim Group LLC is a full-service investment bank, securities and wealth management firm headquartered in New York. The company provides a comprehensive array of financial services including investment banking, global institutional sales, equity research, fixed income and derivative sales & trading, merchant capital, private wealth management, and prime brokerage services to a diverse range of corporate clients, institutional investors and high-net-worth individuals. Maxim Group operates in regions such as North and South America, Asia and Europe. 

Over the past ten years, Maxim Group LLC took part in 1,110 deals and raised more than $80.6 billion in capital markets. The company attracted about $39 billion over the past three years as a result of 464 deals. During this period, Maxim organized several IPOs, including initial offerings of BlackRock Innovation and Growth Trust (BIGZ), BlackRock Health Sciences Trust II (BMEZ), BlackRock ESG Capital Allocation Trust (ECAT), Neuberger Berman Next Generation Connectivity Fund (NBXG), Churchill Capital Corp III (CCX) and Western Asset Diversified Income Fund (WDI).

Freedom Holding Corp. is a provider of retail financial brokerage, investment consulting, securities trading, investment banking and underwriting services via its subsidiaries. The company is a professional participant of the Kazakhstan Stock Exchange (KASE), Astana International Exchange (AIX), Republican Stock Exchange Toshkent (UZSE) and Ukrainian Exchange (UX). The holding’s subsidiaries operate in countries such as Kazakhstan, Ukraine, Kyrgyzstan, Azerbaijan, Armenia, the U.K., Greece, Spain, France, Germany, the UAE, Turkey, Cyprus and the U.S.

On February 10, the Central Bank of Russia cleared the way for Freedom Holding to sell its two subsidiaries – Freedom Finance (Cifra Broker) and Freedom Finance Bank (Cifra Bank) – to Maxim Povalishin, former deputy director general and member of the board of directors of Freedom Finance Investment Company. The deal is estimated at $140 million. Once the deal is fully completed, the Russian business of the holding will operate on its own.

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