Tradeweb Enters Definitive Agreement to Acquire r8fin

Tradeweb Enters Definitive Agreement to Acquire r8fin

Time Stamp: November 16, 2023 9:00 AM
Tradeweb Enters Definitive Agreement to Acquire r8fin PlatoBlockchain Data Intelligence. Vertical Search. Ai.

Tradeweb
Markets Inc. (Nasdaq: TW), an operator of electronic marketplaces, has
announced a definitive agreement to acquire r8fin, a technology provider based
in Chicago that specializes in
algorithmic-based execution for U.S. Treasuries and interest rate futures.

Founded
in 2016, r8fin offers algorithmic-based tools and a thin-client execution
management system trading application to facilitate futures and cash trades.
This acquisition enhances Tradeweb’s existing offerings, including Dealerweb
Active Streams, Dealerweb Central Limit Order Book, Tradeweb Request-for-Quote,
and Tradeweb AiEX, providing an inclusive approach to trading U.S. Treasuries
and related futures.

Billy Hult, CEO, Tradeweb, Source: LinkedIn

Tradeweb
anticipates the acquisition to enhance revenue growth, operating margins, and
be accretive to 2024 earnings per share. The deal is expected to close in the
first quarter of 2024, subject to customary closing conditions and regulatory
approvals.

CEO
Billy Hult expressed optimism about the acquisition, stating: “r8fin
technology will help Tradeweb reach a new and differentiated level of
intelligent execution through a powerful combination of algorithmic technology
and cross-market connectivity.” He emphasized the strategic vision to
deliver an integrated product suite for accessing the U.S. Treasury market
across various liquidity pools.

r8fin,
founded in 2016, serves 65 relative value hedge funds, systematic hedge funds,
professional trading firms, and primary dealers. Its technology facilitates
algorithmic-based execution for an average of more than $23 billion notional in
U.S. Treasury bonds and 350,000 futures contracts per day.

Tradeweb,
an electronic trading platform for U.S. Treasuries, launched the first
multi-dealer online marketplace for U.S. Treasuries 25 years ago. It currently
facilitates an average of $142.7 billion per day in U.S. Treasury trading.

Assad
Fehmy, Co-founder of r8fin, expressed excitement about the collaboration,
stating: “Combining with Tradeweb will further amplify and scale the r8fin
technology, providing customers with broader integrated execution solutions and
asset classes.” Fehmy is set to join Tradeweb upon the
closing of the acquisition.

Yieldbroker Acquisition:
Tradeweb’s Move in Sovereign Bond Markets

Earlier,
Tradeweb
Markets Inc. concluded its acquisition of Yieldbroker, an Australian
trading platform specializing in government bonds and interest rate
derivatives, in a A$125 million all-cash deal, Finance Magnates reported. The
strategic move enables Tradeweb clients to access the Asia-Pacific (APAC) debt
market.

The
completion of the transaction came three months after the initial announcement,
with the deal subject to stockholder approval, final documentation, and
regulatory reviews.

This
acquisition aligns Australia and New Zealand’s markets with Tradeweb’s presence,
bridging the APAC region’s growing financial landscape with Tradeweb’s offerings.
Yieldbroker, known for its electronic auction platform for government bonds,
was founded by key players in the region’s pension fund and sovereign bond
markets.

Tradeweb
Markets Inc. (Nasdaq: TW), an operator of electronic marketplaces, has
announced a definitive agreement to acquire r8fin, a technology provider based
in Chicago that specializes in
algorithmic-based execution for U.S. Treasuries and interest rate futures.

Founded
in 2016, r8fin offers algorithmic-based tools and a thin-client execution
management system trading application to facilitate futures and cash trades.
This acquisition enhances Tradeweb’s existing offerings, including Dealerweb
Active Streams, Dealerweb Central Limit Order Book, Tradeweb Request-for-Quote,
and Tradeweb AiEX, providing an inclusive approach to trading U.S. Treasuries
and related futures.

Billy Hult, CEO, Tradeweb, Source: LinkedIn

Tradeweb
anticipates the acquisition to enhance revenue growth, operating margins, and
be accretive to 2024 earnings per share. The deal is expected to close in the
first quarter of 2024, subject to customary closing conditions and regulatory
approvals.

CEO
Billy Hult expressed optimism about the acquisition, stating: “r8fin
technology will help Tradeweb reach a new and differentiated level of
intelligent execution through a powerful combination of algorithmic technology
and cross-market connectivity.” He emphasized the strategic vision to
deliver an integrated product suite for accessing the U.S. Treasury market
across various liquidity pools.

r8fin,
founded in 2016, serves 65 relative value hedge funds, systematic hedge funds,
professional trading firms, and primary dealers. Its technology facilitates
algorithmic-based execution for an average of more than $23 billion notional in
U.S. Treasury bonds and 350,000 futures contracts per day.

Tradeweb,
an electronic trading platform for U.S. Treasuries, launched the first
multi-dealer online marketplace for U.S. Treasuries 25 years ago. It currently
facilitates an average of $142.7 billion per day in U.S. Treasury trading.

Assad
Fehmy, Co-founder of r8fin, expressed excitement about the collaboration,
stating: “Combining with Tradeweb will further amplify and scale the r8fin
technology, providing customers with broader integrated execution solutions and
asset classes.” Fehmy is set to join Tradeweb upon the
closing of the acquisition.

Yieldbroker Acquisition:
Tradeweb’s Move in Sovereign Bond Markets

Earlier,
Tradeweb
Markets Inc. concluded its acquisition of Yieldbroker, an Australian
trading platform specializing in government bonds and interest rate
derivatives, in a A$125 million all-cash deal, Finance Magnates reported. The
strategic move enables Tradeweb clients to access the Asia-Pacific (APAC) debt
market.

The
completion of the transaction came three months after the initial announcement,
with the deal subject to stockholder approval, final documentation, and
regulatory reviews.

This
acquisition aligns Australia and New Zealand’s markets with Tradeweb’s presence,
bridging the APAC region’s growing financial landscape with Tradeweb’s offerings.
Yieldbroker, known for its electronic auction platform for government bonds,
was founded by key players in the region’s pension fund and sovereign bond
markets.

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