OMX sells Australian banks and brokerages business to GBST
24 November 2005 | 5981 views | 0
Nordic stock exchange operator OMX is selling its Palion technology unit, which serves banks and brokerages in Australia, to Brisbane-based GBST Holdings for A$5.1 million.
Palion, which was acquired by OMX last year, provides systems and services to some 25 Australian brokers and has seven employees.
OMX says the transaction, which is expected to close in the fourth quarter of 2005, is expected to have a marginal impact on its results.
The sale is part of OMX's plans to divest its technology business targeting banks and brokerage firms and focus on driving growth of its marketplace business through acquisitions. The vendor said last week that it was buying Computershare's markets technology business, having also agreed to purchase Libra Financial Software, a provider of securities processing and loan management software and services, earlier in the month.
OMX says discussions with prospective buyers for its Nordic banks and brokers business are ongoing and are expected to be finalised before year end.
In a separate move, TLX, an Italian regulated exchange for retail investors, has signed a six year contract with OMX Technology for the supply and implementeation of a trading platform based on the vendor's Click XT software. The agreement includes licence, project management and on-going support for the platform.
Alessandro Zignani, MD of TLX, says the new platform will enable TLX to grow its business and take advantage of the opportunities offered by MiFID.
TLX has been an OMX Technology customer since 2000 when it implemented OMX's entry-level exchange trading system, Stride.