R.J. O'Brien Agrees to Acquisition by StoneX Group

Rhea-AI Summary

StoneX Group (NASDAQ: SNEX) has reached a definitive agreement to acquire R.J. O'Brien & Associates (RJO), the oldest futures brokerage and clearing firm in the United States. The merger, expected to close in Q3 2025, will create a leading futures commission merchant (FCM) in the U.S.

StoneX, a Fortune 100 company with a market capitalization of over $3.5 billion and operations across six continents, will integrate RJO's global businesses. The combination aims to enhance their position in global financial market structure by combining RJO's client network and clearing capabilities with StoneX's liquidity, OTC hedging solutions, and risk management infrastructure.

RJO's CEO Gerry Corcoran will continue in a senior leadership role at StoneX. The O'Brien family, RJO's majority shareholders, will become major shareholders in StoneX. Broadhaven Capital Partners serves as RJO's exclusive financial advisor, with Mayer Brown LLP as legal advisor.

Positive

• Creation of a leading U.S. futures commission merchant (FCM)
• Access to StoneX's enhanced liquidity and OTC hedging solutions
• Expansion of product offerings and services across asset classes
• Retention of key leadership with RJO CEO joining StoneX
• Integration of complementary capabilities and global networks

Negative

• Integration risks and challenges during merger process
• Regulatory approval uncertainty
• Potential operational disruptions during transition

Insights

Financial Analyst

StoneX Group's acquisition of R.J. O'Brien (RJO) represents a strategically significant transaction that substantially reshapes the competitive landscape in the futures brokerage and clearing industry. This combination directly addresses scale challenges in a business where regulatory capital requirements and technology investments create meaningful competitive advantages for larger players.

The merger creates a leading futures commission merchant (FCM) in the U.S., strengthening StoneX's market infrastructure position across asset classes. By combining RJO's established client network and clearing capabilities with StoneX's liquidity access and OTC hedging solutions, the transaction creates a more comprehensive service offering that should enhance client retention and potentially increase wallet share.

Notable in this announcement is that RJO's CEO Gerry Corcoran will continue in a senior leadership role at StoneX, suggesting continuity for clients and minimizing integration risk. Additionally, the O'Brien family will transition from majority owners of RJO to major shareholders in StoneX, indicating their confidence in the combined entity's prospects.

While financial terms aren't disclosed, the characterization as "transformational" suggests this represents a substantial expansion of StoneX's capabilities and market position. The clearing business provides relatively stable, commission-based revenue that could potentially reduce earnings volatility for StoneX.

The transaction remains subject to regulatory approvals with closing anticipated in Q3 2025. Integration execution will be critical to realizing the full strategic benefits of this combination.

Combination Strengthens Firms' Position as a Leading Futures Brokerage and Clearing Firm 

CHICAGO and NEW YORK, April 14, 2025 /PRNewswire/ -- R.J. O'Brien & Associates (RJO), the oldest futures brokerage and clearing firm in the United States, announced today that its parent company has reached a definitive agreement with StoneX Group Inc. (NASDAQ: SNEX), to merge all of RJO's global businesses into StoneX, subject to regulatory approvals and customary closing conditions. Upon the closing of the transaction, anticipated in the third quarter of this year, the combined firm will become a leading futures commission merchant (FCM) in the U.S., enhancing its role in the global financial market structure.

StoneX is a Fortune 100 company with operations in six continents and a market capitalization of over $3.5 billion. Privately held R.J. O'Brien has offices and affiliates in North America, Europe, the Middle East and Asia. 

Sean O'Connor, Executive Vice-Chairman of StoneX, said: "This is a transformational transaction for StoneX, establishing us as a leading global derivatives clearing firm and reinforcing our position as an integral part of the global market structure across asset classes. Combining R.J. O'Brien's extensive client network and proven clearing capabilities with StoneX's deep liquidity, innovative OTC hedging solutions and leading risk management infrastructure, we are well-positioned to continue to deliver exceptional services, broader market access and industry-leading solutions to our combined client base. We are very pleased that Gerry Corcoran, who has been the CEO and driving force behind RJO, will continue on with StoneX in a senior leadership role." 

RJO Chairman and CEO Gerry Corcoran said: "We're extraordinarily excited about this partnership between two great companies that each bring over a century of history in the futures industry and complementary capabilities, products, services and cultures. We both prioritize a profound commitment to our clients and a focus on prudent risk management. RJO's clients will continue to enjoy the same enduring relationships with the brokers they know so well and the high level of service they know they can expect from us. In addition to all the products we offer today, our clients and brokers will have a plethora of new products and services across asset classes available at their fingertips, bringing meaningful new trading and hedging opportunities. At the same time, our organization will benefit from new efficiencies, premier technologies and greater growth potential." 

Speaking on behalf of the O'Brien family, the majority shareholders in RJO, Board member Bob O'Brien, Jr. said: "This transaction is the right step to take for all of our stakeholders to ensure we carry on the values that have made the firm successful while putting us in the strongest position to compete and meet the challenges of the evolving financial landscape. StoneX was founded just 10 years after my grandfather, John V. McCarthy, started our firm in 1914. Like RJO, it was one of the earliest clearing members of the Chicago Mercantile Exchange. So many of our family members have been privileged to lead the company and provide guidance and counsel. We feel so close to our clients, brokers and employees; they're extended family to us. This merger is the natural next step in the history of the company, and the O'Brien family is enthusiastic about playing a new role as major shareholders in another great company that will build on that legacy."   

RJO Board member John O'Brien, Jr. said: "My father, John O'Brien, Sr. – and his father before him, Robert J. O'Brien, Sr. – led the firm to new heights. My dad worked harder than anyone I have ever met, and his focus on integrity and profound impact on the business were matched only by how much he loved to talk about and spend time with RJO's clients, brokers and amazing employees. He would be the number one advocate for this transaction because it makes so much sense for all of our stakeholders – from employees and brokers to clients and shareholders. My father always said, 'If you're not growing, you're dying.' Gerry has done an incredible job leading the company and driving growth for over two decades while remaining true to our family's principles. He found just the right home for us with StoneX. Both RJO and StoneX have remained leaders in the industry, evolving with the times and expanding to ensure clients were best served. Moving forward together is the best way to stay a leader in this space and operate at an even higher level." 

Broadhaven Capital Partners is serving as exclusive financial advisor to RJO, and Mayer Brown LLP is serving as its legal advisor. 

The StoneX announcement about the transaction can be found at https://ir.stonex.com/press-releases. StoneX will host a conference call to discuss the transaction today at 9:00 a.m. Eastern time. A live web cast of the conference call as well as additional information to review during the call will be made available in PDF form on-line on the StoneX corporate web site at https://register.vevent.com/register/BIe20141cf7fd043c89fde461964a3582e approximately ten minutes prior to the start time. Participants may preregister for the conference call here.

About R.J. O'Brien 

Founded in 1914, R.J. O'Brien & Associates is the oldest independent futures brokerage and clearing firm in the United States, serving more than 75,000 institutional, commercial and individual clients globally, in addition to a network of approximately 300 introducing brokers (IBs). RJO services the industry's most expansive global network of IBs, a vast array of middle market firms and many of the world's largest financial, industrial and agricultural institutions. The firm offers state-of-the-art electronic trading and 24-hour trade execution on every major futures exchange worldwide. RJO received the FOW International Award for Non-Bank FCM of the Year for five consecutive years, and the firm and its UK affiliate have earned eight honors from the HFM Global publications (now With Intelligence) in recent years. 

About StoneX Group Inc. 

StoneX Group Inc., through its subsidiaries, operates a global financial services network that connects companies, organizations, traders and investors to the global market ecosystem through a unique blend of digital platforms, end-to-end clearing and execution services, high touch service and deep expertise. The Company strives to be the one trusted partner to its clients, providing its network, product and services to allow them to pursue trading opportunities, manage their market risks, make investments and improve their business performance. A Fortune 100 company headquartered in New York City and listed on the Nasdaq Global Select Market (NASDAQ:SNEX), StoneX Group Inc. and its more than 4,400 employees serve more than 54,000 commercial, institutional, and payments clients, and more than 400,000 retail accounts, from more than 70 offices spread across six continents. Further information on the Company is available at www.stonex.com.  

 

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SOURCE R.J. O'Brien & Associates

FAQ

When will the StoneX (SNEX) acquisition of R.J. O'Brien close?

The acquisition is expected to close in the third quarter of 2025, subject to regulatory approvals and customary closing conditions.

What is StoneX's (SNEX) current market capitalization?

StoneX Group has a market capitalization of over $3.5 billion.

What happens to RJO's leadership after the SNEX merger?

RJO's CEO Gerry Corcoran will continue with StoneX in a senior leadership role.

How will the SNEX-RJO merger benefit clients?

Clients will maintain existing relationships while gaining access to new products and services across asset classes, enhanced trading opportunities, and improved technologies.

What is the strategic importance of the SNEX-RJO merger?

The merger will establish StoneX as a leading global derivatives clearing firm and strengthen its position across asset classes in global market structure.