GAIN Capital Group Completes $117 Million Investment

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Tue Jan 22, 2008 10:00am EST

3i Leads Round with $97 Million; VantagePoint Venture Partners
                      Adds to Existing Investment
BEDMINSTER, N.J.--(Business Wire)--GAIN Capital Group, LLC, a market leader in the rapidly growing
online foreign exchange (FX) industry, today announced the successful
completion of an investment round from two leading private equity
firms with a specialty focus in finance and technology. 3i led the
round with a $97 million investment, while existing investor
VantagePoint Venture Partners participated with a $20 million
investment. In connection with the investment, 3i US Growth Capital
Partner Whitney Bower will join GAIN's Board of Directors.

   3i and VantagePoint purchased a minority stake from existing
shareholders of the privately-held GAIN Capital, with a portion of the
proceeds going to the company's balance sheet to facilitate larger
trading relationships with leveraged funds and institutions globally,
as well as to support GAIN's growing white label business.

   "We are pleased to welcome 3i to our investor group," stated Glenn
Stevens, GAIN's chief executive officer. "We will undoubtedly look to
leverage 3i's financial expertise, strong global network and
recognized ability to add value to help us achieve our long term
business goals."

   "We are excited to partner with GAIN Capital," commented Whitney
Bower, Partner at 3i US Growth Capital. "GAIN has a strong reputation
and an impressive track record from a financial perspective, achieving
no less than 65% annual growth for the past six consecutive years,"
continued Bower. "We look forward to helping GAIN accelerate the
success of its business development initiatives and further strengthen
its operations in key international markets."

   Forex is the most traded market in the world, with a daily volume
that exceeds $3.2 trillion, according to the Bank of International
Settlements (BIS). Among retail investors, forex trading has gained
widespread acceptance over the past several years. According to U.S.
research firm Aite Group, average daily trade volume in the retail
forex market increased 500% from 2001 to 2006, reaching an estimated
$77 billion per day in 2007.*

   "VantagePoint's decision to make the follow-on investment is a
testament to GAIN's management team and the company's prospects,"
commented Jim Mills, a managing director at VantagePoint Venture
Partners and a member of GAIN's Board of Directors. "We are confident
that GAIN is well positioned to take full advantage of the significant
market opportunities within this space." VantagePoint was the sole
investor in the company's previous investment round completed in
April, 2006.

   In addition to 3i and VantagePoint, GAIN's investor group also
includes private equity firms Tudor Ventures, Edison Venture Fund,
Cross Atlantic Capital Partners, and Blue Rock Capital.

   (*) Source: Aite Group, Retail FX: Taking Center in Overall Market
Growth

   About GAIN Capital Group

   GAIN Capital Group is a market leader in the rapidly growing
online forex industry. Founded in 1999 by Wall Street veterans, GAIN
now services clients from more than 140 countries and supports average
trade volume in excess of $100 billion per month. Headquartered in
Bedminster, New Jersey, the company operates sales and support offices
in New York and Shanghai.

   The company operates two full service web portals. The company's
flagship service, GAIN Capital (www.gaincapital.com) focuses on the
needs of professional forex traders, including hedge funds and money
managers. FOREX.com (www.forex.com) services individual investors of
all experience levels with a full-service trading platform, lower
account minimums and extensive education and training. In addition to
its direct marketing efforts, GAIN currently supports over 40 white
label relationships with broker/dealers, Futures FCMs and other
financial services firms in North America, Europe and Asia.

   GAIN Capital Group, LLC and FOREX.com are registered with the
National Futures Association (NFA) as a Futures Commission Merchant
(NFA ID #0339826).

   For more information, visit www.gaincapital.com or www.forex.com

   About 3i

   3i is a world leader in private equity and venture capital. Today,
3i operates in 14 countries across US, Europe, and Asia, managing over
$13 billion. In the past five years alone, 3i has backed more than 40
companies that have gone public on the world's leading exchanges and
has executed over 450 M&A transactions.

   3i Growth Capital is the world's largest growth capital fund
investing over $1.4bn every year in businesses across Europe, Asia and
the US. 3i's strong financial services expertise has proven successful
in growing many companies worldwide, including Travelex, RoyalBlue /
Fidessa, Asia Capital Re and Interhyp.

   For more information, go to: www.3i.com

   About VantagePoint Venture Partners

   VantagePoint Venture Partners provides creative growth strategies
and capital to companies transforming global markets. With more than
$4.0 billion of capital under management, the Firm invests in
entrepreneurial companies at all stages of development in the
CleanTech, Healthcare, and Information Technology sectors.
VantagePoint partners with talented entrepreneurs who are seeking to
build companies that are world-scale in both size and substance. The
Firm has created a network of thought leaders and strategic partners
with some of the world's leading corporations to provide portfolio
companies with a unique advantage to accelerate growth.

   For more information, visit www.vpvp.com

GAIN Capital
Kiersten Williams, 1-646-201-4892
kwilliams@williams-consult.com

Copyright Business Wire 2008
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