SYDNEY, AUSTRALIA: ASX has announced that it has agreed to sell its 43% stake in Yieldbroker, an Australian electronic fixed income trading platform, to Tradeweb, a global operator of electronic marketplaces for rates, credit and money markets.
The deal, which is subject to regulatory approvals and other conditions, is expected to generate around A$55 million for ASX, after estimated transaction costs. ASX will also book a gain of about A$25 million after tax for the financial year ending 30 June 2023, reversing prior year impairment losses.
Helen Lofthouse, ASX’s Managing Director and CEO, said the transaction would benefit the Australian market by combining Yieldbroker’s local expertise and Tradeweb’s global reach and innovation.
“We believe this transaction will deliver substantial benefits to the Australian market through Yieldbroker and Tradeweb leveraging each other’s innovative trading solutions and deep industry experience,” she said.
“ASX has been a shareholder of Yieldbroker since 2014 and, given the relationship built over the years between the two organisations, ASX will continue to work closely with new owner Tradeweb to help foster long term growth and solutions for customers in the Australian fixed income market.”
Yieldbroker was founded in 1999 and provides electronic trading services for Australian and New Zealand debt securities and derivatives. It has more than 100 institutional clients and facilitates over A$100 billion of trading volume per month.
Tradeweb is a leading global provider of electronic trading platforms and services for fixed income, derivatives and ETFs. It operates in over 40 markets across North America, Europe and Asia. It has more than 2,500 institutional clients and facilitates over US$20 trillion of trading volume per month.