Nyse Euronext has agreed to acquire a 25% stake in UK trading technology outfit Fixnetix. Financial terms of the deal were not disclosed.
More than 90% of Fixnetix's shareholders have already accepted the offer from Nyse Euronext, which also has the option to buy the rest of the business at any time in the next three years.
London-based Fixnetix provides low latency data provision, co-location, trading services and risk controls for more than 50 markets worldwide. This complements the Nyse Technologies unit, providing "a unique combined offering of core managed services delivered to markets and market participants around the world," says a statement.
Nyse also hopes to use the deal to plug in more trading clients to its network of Global Liquidity Centres, which are based in the US, Europe, Tokyo and Toronto.
Fixnetix will continue to operate as an independent company but work "where appropriate" with Nyse technologies to offer customers integrated services. Meanwhile, both parties will seek to benefit from streamlining the process for designing and installing elements of complex global trading infrastructures.
Stanley Young, CEO, Nyse Technologies, says: "This strategic shareholder interest in Fixnetix aligns with our mission to build a global capital markets community supported by world-class technology, broad connectivity and diverse customer participation that yields greater liquidity and market innovation. With our collective experience in delivering customer-driven technology solutions that facilitate global multi-asset trading, we will create an even more compelling value proposition for market participants trading anywhere in the world."
Nyse Euronext has quickly turned its focus to technology revenues in the wake of the failed Deutsche Börse merger. After posting record fourth quarter revenues for the Information Services and Technology Solutions segment of $127 million, the company recently revealed plans to double annual tech revenues to $1 billion by 2015.
Its German counterpart has taken a similar road, setting out plans this week to create a new business unit that will be responsible for all data and information technology activities as it seeks to win customers and boost revenues.
Separately, Canada's TMX Group is poised to complete its takeover of Razor Risk Technologies after securing the acceptance of its offer from 91.2% of the Australian vendor's shareholders.