17 August 2017
Find out more

ITG Europe in talks to buy rival E-crossnet

06 December 2004  |  4178 views  |  0 hand shake

ITG Europe, operator of the Posit electronic intraday equities crossing system, is in negotiations to acquire rival buy-side crossing network E-Crossnet (EXN).

EXN was launched in March 2000 by a group of investment banks and asset management firms. The company's major stake holders are Barclays Global Investors (BGI), Merrill Lynch Investment Managers (MLIM) and State Street which acquired a 20% stake in the network in March this year.

ITG Europe, which is part of US-based Investment Technology Group, has enterted into exclusive talks to acquire E-crossnet and expects the cash deal to be concluded by the end of the year. Financial terms were not disclosed but under the proposed deal, all of E-crossnet's 13 shareholders will sell their stakes.

Alasdair Haynes, CEO of ITG Europe, comments: "In seeking to add EXN to Posit we will be able to give all clients a single and enhanced liquidity pool."

According to a report by the FT, which cites research by Merrill Lynch, crossing networks only account for one to two per cent of share trades in the fund management industry in Europe.

Peter Gibbs, CIO, MLIM, states: "We fully support the creation of a single crossing network. By increasing liquidity, more trades will be matched and investors will see the benefit in lower transaction costs."

For the third quarter of 2004, ITG Europe reported revenues of £4.5m and undisclosed profit. E-Crossnet has not reported any profitable quarters since it was launched four years ago.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Crossing volumes set to explode

Crossing volumes set to explode

29 July 2004  |  4073 views  |  0 comments
E-Crossnet introduces FIX trading hub

E-Crossnet introduces FIX trading hub

15 June 2004  |  4700 views  |  0 comments
State Street takes stake in E-Crossnet

State Street takes stake in E-Crossnet

02 March 2004  |  4718 views  |  0 comments
E-Crossnet names two new directors to the board

E-Crossnet names two new directors to the board

01 May 2002  |  3392 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.dorsum.euvisit www.worldpaymentsreport.comdownload the paper now

Who is commenting?

Top topics

Most viewed Most shared
DBS Bank launches online car selling marketplaceDBS Bank launches online car selling marke...
9950 views comments | 13 tweets | 11 linkedin
China preps central clearing house for mobile payments providersChina preps central clearing house for mob...
9922 views comments | 8 tweets | 15 linkedin
Monzo appoints Curve co-founder Foster-Carter COOMonzo appoints Curve co-founder Foster-Car...
8266 views comments | 1 tweets | 3 linkedin
hands typing furiouslyCompliance: Overcome the data deficit
7726 views 0 | 1 tweets | 8 linkedin
PayPal buys Swift Financial to boost working capital bizPayPal buys Swift Financial to boost worki...
7661 views comments | 13 tweets | 7 linkedin

Featured job

Competitive
New York, NY - USA (some flexibility on location)

Find your next job