IG Group Buys 70% of Australian Crypto Exchange for $117M

IG Group’s acquisition of Independent Reserve represents a calculated strategic move to deepen its presence in the Asia-Pacific region, particularly in Australia and Singapore where cryptocurrency adoption has been accelerating. The A$178 million deal for 70% ownership provides IG with immediate access to one of Australia’s largest and fastest-growing digital asset exchanges, which has demonstrated impressive financial performance with revenue nearly doubling to A$35.3 million over the past year. This acquisition aligns with IG’s broader crypto strategy, building on its previous milestone as the first London-listed firm to offer retail users access to major cryptocurrencies including Bitcoin (BTC), Ethereum (ETH), and XRP.

The timing of this acquisition is particularly significant as regulatory frameworks across major markets continue to mature. With the UK implementing new crypto reporting requirements starting in 2026 and other jurisdictions following suit, IG’s investment in a well-regulated exchange with established compliance foundations positions the company favorably for the evolving regulatory landscape. Independent Reserve’s dual presence in Australia and Singapore, both markets with progressive but structured regulatory approaches to digital assets, provides IG with a strategic foothold in jurisdictions that are actively shaping the future of crypto regulation.

The acquisition structure includes a performance-based option for IG to acquire the remaining 30% stake in two tranches during 2027 and 2028, creating alignment between the acquisition price and Independent Reserve’s future performance. This staged approach demonstrates IG’s prudent financial management while providing incentives for the current leadership team to continue driving growth. The company has explicitly stated that the purchase will be earnings per share accretive following completion, with expectations of a positive impact to cash EPS in the first full year of ownership.

Independent Reserve’s dramatic revenue growth to A$35.3 million, nearly double the previous year’s performance, underscores the exchange’s strong market position and execution capabilities. The exchange offers over-the-counter trading in 34 digital assets to both retail and institutional clients, providing IG with immediate diversification across multiple cryptocurrency products. This revenue growth trajectory, combined with IG’s existing multi-asset trading platform, creates significant cross-selling opportunities and operational synergies that are expected to drive both top-line growth and margin expansion.

The completion of the acquisition remains subject to regulatory approvals from the Monetary Authority of Singapore (MAS) and Australia’s Foreign Investment Review Board (FIRB), with final completion scheduled for early 2026. These regulatory hurdles are standard for cross-border financial acquisitions but highlight the careful navigation required in the rapidly evolving crypto regulatory environment. Independent Reserve’s established regulatory foundations and compliance track record in both Australia and Singapore are likely to facilitate smoother approval processes.

Matt Macklin, Head of Asia Pacific at IG Group, emphasized the strategic importance of this acquisition, noting that Independent Reserve brings ‘established regulatory foundations, proven technology and strong leadership’ to the combined entity. This combination of regulatory compliance, technological infrastructure, and experienced management provides IG with a robust platform for further expansion in the APAC region. The acquisition positions IG to capitalize on the growing institutional adoption of cryptocurrencies while maintaining the regulatory compliance necessary for sustainable long-term growth in the sector.

As global cryptocurrency markets continue to mature and institutional participation increases, IG’s strategic acquisition of Independent Reserve represents a significant step in bridging traditional finance with digital assets. The deal not only expands IG’s product portfolio but also strengthens its competitive position in a region that has shown particularly strong appetite for cryptocurrency innovation and adoption.