Electronic trading platform MarketAxess Holdings Inc. agreed to acquire LiquidityEdge LLC, which provides an electronic U.S. Treasuries marketplace, in a $150 million cash-and-stock deal.
The deal consideration is composed of $100 million in cash and $50 million in MarketAxess shares. The transaction is expected to close in the fourth quarter.
MarketAxess also said it will expand its hedging capabilities to include Treasury hedging for its credit products, using LiquidityEdge's technology infrastructure and liquidity network. The company is aiming to launch the initial phase in the fourth quarter.
LiquidityEdge is a subsidiary of RF7 LLC, which designs advanced distributed ledger technologies to U.S. and international financial markets.