Dutch data technology vendor MartketXS has signed a letter of intent to acquire Moneyline Telerate's businesses in the Benelux region for an undisclosed sum.
MarketXS says the addition of Moneyline Telerate's Benelux businesses will quadruple its revenues and it will become the third-largest provider of market data technology in the region, with a 25% market share.
Under the agreement, MarketXS will distribute Moneyline Telerate premium market data over its Windows-based workstation MarketXSPro, and will also be the exclusive distributor of Moneyline products in the region. As part of the deal, MarketXS will also license certain technology to Moneyline Telerate.
In return Moneyline Telerate has the right to market MarketXSPro, as well as future product enhancements including additional fixed income analytics.
Floris Alkemade, MarketXS CEO, says: "As the exclusive distributor for Moneyline Telerate in Benelux we will see a significant increase in our customer base and a great potential for further expansion."
Christopher Feeney, CEO, Moneyline Telerate, says: "Through the agreement with MarketXS, we will increase the distribution of Moneyline Telerate data by combining our established presence in Benelux with that of MarketXS. At the same time we will enhance our local content coverage, which is integral to our customers."
The Dutch firm has also opened an investment round of up to EUR11.5 million and has secured EUR7.5 million from One Equity Partners, the New York-based private equity arm of Bank One Corporation which also has a majority stake in Moneyline Telerate.
After closing the round, the firm will continue to be majority owned by its management, with a small group of outside investors including One Equity Partners. In addition to the equity funding, MarketXS has secured a EUR5 million bank facility with Hollandsche Bank-Unie.