Dash Financial is to merge with LiquidPoint to create a new trading technology solutions provider focused on the options and equities markets.
Dash Financial is an institutional trading technology, execution and analytics provider, while LiquidPoint is a provider of options technology and routing services to the sell-side and exchange communities.
Private equity firm GTCR will be contributing LiquidPoint from portfolio company Convergex to merge it with Dash.
The combined entity will operate as Dash Financial Technologies and be majority owned by GTCR. It will have a 13 per cent market share in the US options agency execution space. The independent company will be led by Peter Maragos as CEO and Ben Londergan as president.
“Our core mission is to deliver highly transparent trading technology and pure agency execution solutions to the institutional community,” says Maragos. “Together we are uniquely positioned to offer the widest range of solutions to help the buy side, sell side and exchanges navigate the ever-evolving market structure and regulatory environment.”
“We are very excited to be joining forces with Dash,” says Londergan (pictured). “The increase in human, technology and financial assets that we will share through this merger will help keep our products and services ahead of the rapidly evolving market microstructure and the demands of our clients.”
Collin Roche, managing director at GTCR, says: “This merger creates a well-capitalised, growing financial technology firm that is able to deliver the next generation of trading and transparency solutions to the largest and most sophisticated clients. There are also great synergies between these two firms, and we believe this merger will unlock the full potential of both businesses.”
"We are thrilled to be working with the very talented teams at Dash and LiquidPoint,” says Dean Mihas, managing director at GTCR. “We have great confidence in their ability to deliver exciting product innovations and raise the bar in terms of what clients can expect from their trading technology partner. GTCR is excited to participate in this transformative merger which creates a truly unique and scalable business. We also want to express our gratitude to the full Convergex and LiquidPoint teams for their hard work and success over the last three years.”
The transaction is expected to close in Q1 2017 subject to customary closing conditions including regulatory approvals.
Dash was advised on the transaction by Raymond James and Sidley Austin served as Dash’s legal counsel. Kirkland & Ellis served as legal counsel for GTCR and Convergex.