Euronext Takes $10 Million Stake in Fixed-Income Tech Provider Algomi
Latest investment in London-based vendor follows $2.3 million licensing agreement in November last year to create joint venture to launch new pan-European bond multilateral trading facility.
Euronext’s minority stake in Algomi is aimed at increasing both the exchange operator’s presence in the fixed-income market and furthering the joint venture between the two organizations designed to increase the availability of pre-trade information through a collaborative approach between banking users through the establishment of a new pan-European multilateral trading facility (MTF).
The development of the new MTF will be undertaken by Algomi, which will supply an internally developed exchange-grade bond-matching solution to provide the functionality required for algorithmic smart matching to create an auction between dealers. Banks that have already deployed Algomi’s information-matching platform Synchronicity will automatically have access to the MTF after it launches.
Euronext will also seek to build out its global operations through the launch of a number of worldwide fixed-income venues; the firm is already undertaking the launch of an automated trading system in North America, in conjunction with partners in the Asia-Pacific region.
“This partnership with Algomi is central to our fixed-income ambitions and our wider FICC diversification plans as part of our ‘Agility for Growth’ plan,” says Stéphane Boujnah, CEO of Euronext. “As a strategic investor taking a board seat, we will be in a strong position to oversee the successful growth of the business, and consolidate future trading activity globally.”
Algomi was established in 2012 with the goal of enhancing bond liquidity information availability for both the buy side and sell side. Its flagship Honeycomb network, winner of the Best Buy-Side Product category at the Buy-Side Technology Awards 2015, provides buy-side traders with information from sell-side participants on illiquid bonds and facilitates over-the-counter (OTC) trading, while reducing information leakage through anonymous indications of interest. The Honeycomb network currently hosts 240 buy-side firms and 18 banks.
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@waterstechnology.com or view our subscription options here: http://subscriptions.waterstechnology.com/subscribe
You are currently unable to print this content. Please contact info@waterstechnology.com to find out more.
You are currently unable to copy this content. Please contact info@waterstechnology.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (point 2.4), printing is limited to a single copy.
If you would like to purchase additional rights please email info@waterstechnology.com
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (clause 2.4), an Authorised User may only make one copy of the materials for their own personal use. You must also comply with the restrictions in clause 2.5.
If you would like to purchase additional rights please email info@waterstechnology.com
More on Trading Tech
How a consolidated tape could address bond liquidity fragmentation
Chris Murphy, CEO of Ediphy, writes that the biggest goal of a fixed-income tape should be the aggregation of, and democratized access to, market data.
An AI-first approach to model risk management
Firms must define their AI risk appetite before trying to manage or model it, says Christophe Rougeaux
Launch of Deutsche Börse’s midpoint dark pool delayed
The exchange group faces a roadblock as it awaits a reference price waiver from its regulator.
Tech VC funding: It’s not just about the money
The IMD Wrap: It’s been a busy year for tech and data companies seeking cash to kick-start new efforts. Max details how some are putting the fun into fundraising.
Bond tape hopefuls size up commercial risks as FCA finalizes tender
Consolidated tape bidders say the UK regulator is set to imminently publish crucial final details around technical specifications and data licensing arrangements for the finished infrastructure.
If M&A picks up, who’s on the auction block?
Waters Wrap: With projections that mergers and acquisitions are geared to pick back up in 2025, Anthony reads the tea leaves of 25 of this year’s deals to predict which vendors might be most valuable.
The Waters Cooler: A little crime never hurt nobody
Do you guys remember that 2006 Pitchfork review of Shine On by Jet?
Removal of Chevron spells t-r-o-u-b-l-e for the C-A-T
Citadel Securities and the American Securities Association are suing the SEC to limit the Consolidated Audit Trail, and their case may be aided by the removal of a key piece of the agency’s legislative power earlier this year.
