Auction for Russian FX dealer PSB-Forex fails due to lack of bids

Maria Nikolova

A Commission has determined that the online auction for the FX dealer has failed, due to lack of candidates to acquire the company.

As FinanceFeeds reported back in February 2020, Russian bank Promsvyazbank has been trying to sell its Forex trading subsidiary PSB-Forex. The FX dealer (the official designation of retail FX brokers in Russia) was put up for sale on an electronic auction platform by its parent on February 21, 2020.

Today, the Commission responsible for the auction published a report on the progress of the process. Registrations for the auction process were accepted by March 18, 2020. The Commission concluded that the auction had failed due to lack of candidates to acquire the brokerage.

The notice on the platform says that 100% of the capital of PSB-Forex was offered for sale, with the start price being RUB 149 million (USD 1.84 million). The nominal value was put at RUB 294,776,142.

In September 2019, the Association of Forex Dealers (AFD), the self-regulatory organization for Russia’s OTC FX sector, announced the sanctioning of PSB-Forex. The company was reprimanded due to its violation of the Internal Standards for conducting checks, the Association said.

PSB-Forex is one of the handful of firms that have Forex dealer licenses in Russia. In December 2018, the Central Bank of Russia took away the licenses of some of the major players in the Russian retail Forex scene, including Alpari, Forex Club and TeleTrade. In its official announcement back then, the Central Bank explained that the licenses of five companies – Forex Club, Alpari Forex, Trustforex, Fix Trade, and TeleTrade Group, were annulled due to violations of the Russian law by the brokers.

The Central Bank of Russia granted Forex dealer license to PSB-Forex, a Promsvyazbank company, back in April 2017. The move was seen to strengthen the presence of Russian banks in the FX market.

  • Read this next

    Digital Assets

    Celsius founder Mashinsky agrees to shared lawyers with Sam Bankman-Fried

    Former Celsius CEO Alex Mashinsky has addressed potential conflicts of interest in his legal representation during a brief hearing in a New York courtroom.

    Digital Assets

    Sam Bankman-Fried captured in first jail photo

    Sam Bankman-Fried, the once-billionaire founder of FTX, has been spotted looking quite different with a new beard and a slimmer figure in a photo that’s been making rounds, reportedly taken inside New York’s Metropolitan Detention Centre.

    Market News

    Bitcoin stalls at $53,000 level, Ethereum reaches $3,000

    Bitcoin (BTC) faced renewed resistance at the crucial $53,000 level on Tuesday, indicating that the primary cryptocurrency is likely to continue consolidating before making its next decisive move.

    Digital Assets

    UK targets new laws for stablecoins and crypto staking within six months

    The United Kingdom is gearing up to enact fresh legislation regulating stablecoins and crypto staking within the next six months.

    Web3

    Masa’s Milestones Before Mainnet Launch

    Since its launch in August 2022, Masa, the premier decentralized network for personal data, has experienced rapid growth, securing over 1.2 million unique wallets and accumulating more than 23 million data points. Despite a bear market, the network has attracted over 40,000 node operators to its testnet within just 18 months.

    Digital Assets

    Web3 Greatest Startup Competition Hits $10M in Prizes

    We’re thrilled to announce the return of the highly anticipated Startup Competition at Paris Blockchain Week. With a staggering array of prizes totaling over $10 million, encompassing funding, grants, credits, accelerations, listing, and more, this competition has become a cornerstone event within the blockchain startup ecosystem.  

    Digital Assets

    Hedge fund Tyr Capital faces dispute over exposure to FTX

    Crypto hedge fund Tyr Capital found itself embroiled in a dispute with one of its clients concerning its investment exposure to the bankrupt digital assets exchange FTX, as reported by the Financial Times on Tuesday.

    Retail FX

    Plus500 revenue down to $725 million, unveils $100M share buyback

    Israeli-based, but London-stock market listed Plus500 Ltd (LON:PLUS) today reported its 2023 results, which came “significantly ahead” of analysts’ estimates.

    Education

    Strategies for Profiting from Interest Rate Fluctuations

    The world of Forex trading is a complex and dynamic domain where interest rates play a pivotal role in shaping currency values. Octa’s team of financial experts delves into this intricate relationship, providing traders with a comprehensive understanding and strategies to harness economic indicators for enhanced trading performance.

    <