03:54 AM
Tradescape.com Gobbles Up MarketXT
In a stock deal valued at $100 million, online trading firm Tradescape.com has acquired MarketXT, an online trading systems supplier that recently received approval to act as an electronic communications network (ECN). Under the arrangement, Tradescape is expected to integrate the MarketXT trading system with its own and route orders to MarketXTs ECN. While exact terms of the deal have not been decided, both companies will be exploring ways to take advantage of the liquidity and execution of their systems.
Were going to be looking at creative ways to leverage each others capabilities to the benefit of all our customers, says Craig Vorselen, executive vice president of technology and operations at MarketXT. Specifically, Vorselen adds that MarketXT will be a destination for execution for Tradescape subscribers.
MarketXT, which currently operates from 4 p.m. until 8 p.m., is also looking to extend its hours into the regular trading day sometime this spring after completing the necessary technology upgrades to the system.
MarketXT and Tradescape are also looking to expand their customer base by appealing not only to professional traders and individual online investors, but to institutional clients as well. Vorselen points out that institutions are already trading through Instinet and therefore could be receptive to other ECN avenues such as MarketXT, given the liquidity that he hopes the Tradescape arrangement will provide in the future.