Goldman Sachs and Morgan Stanley buy Chi-X Global stakes

A group of five financial institutions, including Goldman Sachs and BofA Merrill Lynch, have acquired minority stakes in Chi-X Global, which operates trading platforms in Canada and Japan.

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Goldman Sachs and Morgan Stanley buy Chi-X Global stakes

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Financial terms were not disclosed on the deal, which also sees Getco, Morgan Stanley and Quantlab Group investing. Nomura-owned Instinet remains the largest equity holder.

As well as running trading platforms in Canada and Japan, Chi-X Global is set to launch in Australia at the end of October, having cleared the final regulatory hurdle yesterday.

It also jointly operates Chi-East, a non-displayed liquidity pool in Singapore, through a joint venture with SGX and will launch Chi-FX with BM&FBovespa in Brazil early next year.

Tal Cohen, CEO, Chi-X Global, says: "The investment that our equity partners have made today demonstrates their commitment to Chi-X Global and its businesses. With the support of our investors, Chi-X Global is well positioned to continue its growth and remain a positive force for change through market innovation and the introduction of competition."

Chi-X Europe, a separate business also founded by Instinet is in the process of being acquired by Bats Europe, although the deal is currently being investigated by the UK Competition Commission.

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Comments: (1)

Gary Wright

Gary Wright 

Anyone could have made a prophecy 4 years ago that all the electronic trading platforms set up would be aquired at some stage. Remains to be seen if the price paid provides a decent profit after MiFID and the rest of the world moves from competition to services that include risk and cost reduction

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