Icap has acquired UK regulatory reporting outfit Abide Financial for an undisclosed sum.
Founded in 2011, Abide will become a subsidiary of Icap’s Post Trade Risk and Information (PTRI) division, where it will be integrated with Traiana and Icap's existing reporting services.
The acquisition follows a strategic investment taken in Abide by Icap's Euclid fund in July last year. The interdealer broker has staked its future on becoming a financial technology company, putting Euclid to the foren and focusing on electronic markets and post trade services under the new name NEX Group.
Icap chief Michael Spencer says: “Since Abide first came to our attention, we knew it was a unique business which fitted perfectly with our strategy to serve our clients’ changing needs. They are one of a very small number of companies who offer holistic regulatory reporting services, which will become ever more critical as financial markets evolve."
Abide acts as a reporting hub for Emir, Approved Reporting Mechanism for MiFID and a Regulatory Reporting Mechanism for Remit. The firm is currently awaiting Esma’s approval to become a Trade Repository and is developing its MiFiD II offering.
"Abide is a company with big potential and ambitions, and by capitalising on Icap’s relationships, knowledge and resources, it can be propelled to the next level in its growth," continues Spencer. "This acquisition demonstrates how the team at Euclid works and how it will continue to operate as we transition to become NEX.”
Through Euclid, Icap has made a number of financial technology investments, including Duco, OpenGamma, AcadiaSoft, Cloud9 Technologies, and Digital Asset Holdings.