TechFin player DigitalX has signed a binding agreement with Automic Group for the referral of customers to its Sell My Shares business – which is expected to deliver new brokerage revenues for both parties.

Share registry businesses Automic operates with more than 1,000 ASX-listed and unlisted companies and is the number one provider of IPO services in Australia.

DigitalX (ASX:DCC) subsidiary Sell My Shares is a specialist online stockbroker and since 2013, has helped over 40,000 customers sell more than $300 million worth of shares.

And under the three-year agreement, shareholders of Automic’s ASX-listed client companies will be able to access the Sell My Shares service through the Automic investor portal, offering a convenient solution for share sale execution.

Generating additional revenue for both parties

DigitalX says the agreement demonstrates the continued execution of its growth strategy for the Sell My Shares business, and for realising revenue generating opportunities for the company – with the deal expected to increase transactions through Sell My Shares and generate additional brokerage revenue.

“We are excited about partnering with a great Australian company such as Automic Group to further develop our Sell My Shares business and support its ASX-listed registry clients,” CEO Lisa Wade said.

“For our team this was a significant focus in our strategic revenue initiatives and is a considerable milestone for DigitalX moving forward.”

Automic CEO Andrew Wilson said the deal provides increased value to both businesses’ customers.

“We see strong alignment across both companies in our vision for the future of digital financial markets,” he said.

DigitalX is set to provide Automic with a report on the outcome of cyber security penetration testing as a condition precedent for the agreement during Q4 2022.

 

 

 

This article was developed in collaboration with DigitalX, a Stockhead advertiser at the time of publishing.

 

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

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