Bourse operator Cboe to buy Canada’s NEO exchange By Reuters


© Reuters. FILE PHOTO: Chicago Board Options Exchange (CBOE) Global Markets sign hangs at its headquarters building in Chicago, Illinois, U.S., September 19, 2018. REUTERS/Michael Hirtzer

By John McCrank

NEW YORK (Reuters) – Cboe Global Markets (NYSE:) on Monday said it agreed to buy Canadian stock exchange operator Aequitas Innovations Inc, known as NEO, for an undisclosed amount, expanding its North American footprint in the latest of a string of recent acquisitions.

Trading levels surged at the beginning of the COVID-19 and have remained elevated, benefiting exchange operators like Cboe, the third-largest U.S. stock exchange operator by volume.

The NEO deal, which is expected to close in the first half of 2022, pending regulatory approval, will give Cboe a fully registered securities exchange in Canada in addition to the alternative trading system MATCHNow, which it acquired last year, creating operating efficiencies though scale.

Together, the two trading platforms have a share of around 16.5% of the Canadian equities market and will be better placed to compete against Toronto Stock Exchange operator TMX Group.

“Adding NEO to the Cboe network better enables us to create a first-class equities offering in Canada, bolstering our global markets in North America, Europe and Asia Pacific, and bringing us one step closer to our vision of building one of the world’s largest global derivatives and equities trading networks,” said Cboe Chief Executive Officer Ed Tilly.

In the past month, Cboe has said it agreed to acquire cryptocurrency trading platform Eris Digital Holdings (ErisX), a spot and derivatives exchange for digital assets; announced it was a limited partner in the planned acquisition of trading software firm Trading Technologies International; and said it planned to launch a new U.S. Treasuries trading platform.

NEO also offers listing and market data services, and its sister company, NEO Connect, provides a distribution platform supporting mutual funds, private funds and private corporate bonds.

Chicago-based Cboe operates trading platforms and products in equities, derivatives and foreign exchange across North America, Europe and Asia Pacific.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source Link