Internet-based European bond trading platforms BondVision and BondClick have agreed to a merger. The deal marks the first major consolidation in the European fixed income electronic dealing markets.
The combined entity will be backed by all 20 of the consortium members of MTS-owned BondVision and three-month-old BondClick. The combination, essentially a takeover by yet-to-be-launched BondVision, will provide improved service through greater liquidity and market presence, say the companies. The merged group will utilise the existing MTS network and BondClick technology platform.
Gianluca Garbi, chief executive officer of MTS comments: "This deal is evidence that the fixed income market is moving towards consolidation at a faster pace than the equity market."
BondVision was not due to start trading until next month. BondClick has been operational since February and claims a maximum daily value of EUR100 million bonds exchanged.