MarketAxess to Acquire Xtrakter from Euroclear
LONDON & BRUSSELS -- November 02, 2012
MarketAxess Holdings Inc. (Nasdaq: MKTX), the operator of a leading electronic
trading platform for U.S. and European corporate bonds, emerging markets bonds
and other types of fixed-income securities, has agreed to acquire Xtrakter
Limited, a leading provider of regulatory transaction reporting, financial
market data and trade matching services to the European securities markets.
Xtrakter is a wholly owned subsidiary of Euroclear SA/NV.
Rick McVey, Chief Executive Officer of MarketAxess, said: “Xtrakter is a
strong fit with our business and provides MarketAxess with an expanded set of
services that are highly complementary to our core strengths in electronic
trading, market data and straight-through processing solutions for the global
credit markets. Xtrakter is a leading provider of regulatory trade reporting
to the UK Financial Services Authority and other similar Continental European
authorities and is well positioned to play a key role in the UK and other
European markets as regulators look to reduce trade settlement risk and
increase market transparency under the proposed MiFID II mandate.”
Tim Howell, Chief Executive Officer of Euroclear, commented: “Xtrakter
colleagues and clients will find an innovative and strong team at MarketAxess
who are eager to move quickly and assertively to develop the portfolio of
Xtrakter services to meet changing market needs. Post acquisition, we will
continue working with Xtrakter and MarketAxess to deliver further transparency
and efficiency to the international capital markets.”
The purchase price is £26.0 million (approximately $42.0 million) in cash,
plus transaction costs.Closing of the transaction is subject to satisfaction
of certain conditions, including FSA regulatory approval. MarketAxess
currently expects to complete the acquisition of Xtrakter in the first quarter
MarketAxess operates a leading electronic trading platform that enables
fixed-income market participants to efficiently trade corporate bonds and
other types of fixed-income instruments using MarketAxess’ patented trading
technology. Over 1,000 investor and broker-dealer firms are active users of
the MarketAxess trading platform, accessing global liquidity in U.S.
high-grade corporate bonds, European bonds, high yield and emerging markets
bonds, agency bonds, asset-backed and preferred securities and credit default
swaps. MarketAxess also offers a number of trading-related products and
services, including: market data to assist clients with trading decisions;
connectivity solutions that facilitate straight-through processing; technology
services to optimize trading environments; and execution services for
exchange-traded fund managers and other clients.
MarketAxess maintains its headquarters in New York and has offices in London,
Chicago, Salt Lake City, Hong Kong, Singapore and São Paulo. For more
information, please visitwww.marketaxess.com.
About Xtrakter and Euroclear
Xtrakter is a leading provider of capital market data, trade matching and
regulatory reporting services to the global securities market. It has an
established track record in providing innovative, secure and reliable
solutions to the financial services sector. Xtrakter was established in 1985
and has been part of the Euroclear group of companies since April 2009.
In 2011, Xtrakter processed 950 million transactions on behalf of its user
community and currently provides capital market firms with information to
assist them in conducting net asset valuations, mark-to-market calculations,
fixed-income portfolio mapping, liquidity and volume modeling, as well as
reference data population updates.
Xtrakter also provides a wide range of market (pricing) data for approximately
53,000 international securities and internationally traded government bonds,
as well as securities reference data for 290,000 government bonds, corporate
bonds, medium-term notes and private derivative issues. Xtrakter employs 70
people and is based in London.
Euroclear is the world’s largest provider of domestic and cross-border
settlement and related services for bond, equity, derivatives and fund
transactions. User owned and user governed, the Euroclear group includes
Euroclear Bank, based in Brussels, as well as Euroclear Belgium, Euroclear
Finland, Euroclear France, Euroclear Nederland, Euroclear Sweden and Euroclear
UK & Ireland. Euroclear also owns Xtrakter, operator of the TRAX trade
matching and reporting system.
Florencia Panizza, +1 917 432 7832
Andrew Nicolls, +44 20 3128 8581
Tony DeLise, +1 212 813 6017
Martin Gregson, +32 (0)2 326 4186
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