ICE closes $685 million TMC Bonds deal

ICE said the $685 million purchase will not have any impact on the exchange’s financial results this year.

Intercontinental Exchange (ICE) has completed its acquisition of TMC Bonds in a $685 million cash transaction.

The deal is not expected to have a material effect on the exchange operator’s financial results or its capital returns this year.

TMC Bonds, which was established in 2000, provides trading in various fixed income products including municipals, corporates, treasuries, agencies and certificates of deposit, with click-to-trade or request for quote (RFQ) functions.   

ICE said at the time of the announcement of the acquisition that TMC Bonds will offer new and complementary access points to liquidity for its customers, while expanding on the exchange’s global fixed income services across analytics, execution and post-trade.

“We are working closely with our customers to provide more choice in how they access liquidity in the global bond market, which makes TMC Bonds a natural fit and complements our fixed income offerings,” said ICE president Ben Jackson.

“Our focus on innovation, efficiency and transparency aligns with TMC’s unique solutions for the evolving fixed income market.”

TMC is the latest fixed income-related strategic acquisition made by ICE over the past couple of years, after it purchased Virtu Financial’s BondPoint trading platform for $400 million following the Virtu and KCG $1.4 billion merger.

ICE also acquired Bank of America Merrill Lynch’s fixed income indices platform, the second most-used bond indices by assets under management globally at the time, in June last year.