Intercontinental Exchange to Acquire MarketAxess for $6 Billion
The NYSE owner is doubling down on electronic fixed-income trading with the acquisition of a leading electronic bond trading platform.
Intercontinental Exchange (ICE), the owner of the New York Stock Exchange, has agreed to acquire MarketAxess Holdings Inc. for approximately $6 billion in cash and stock. The deal signals ICE's strong conviction in the ongoing shift toward electronic trading in the fixed-income markets.
MarketAxess is a prominent electronic trading platform for corporate bonds and other fixed-income securities. The acquisition is expected to close in the second half of 2024, subject to customary closing conditions and regulatory approvals. ICE anticipates that the transaction will be accretive to its earnings per share within the first year after closing.
This move represents a significant bet by ICE on the continued digitization of the bond market, which has historically lagged behind equities in electronic adoption. By integrating MarketAxess's technology and market position, ICE aims to enhance its offerings in the fixed-income space and capitalize on the growing trend of electronic bond trading. The company believes this will drive further efficiency and liquidity for its clients.