Market data and analytics provider Interactive Data has signed an agreement to acquire 7ticks, a provider of electronic trading networks and managed services.
According to Interactive Data, the purchase will accelerate plans to increase the flexibility and resilience of its network infrastructure, enabling the firm to support a broader range of direct exchange access and consolidated data feed services.
7ticks provides direct exchange access, proximity hosting and support services for electronic trading across multiple assets for a wide range of US market participants. The firm is also in the process of increasing its US equities coverage and has plans to expand further into Asia and Europe in the coming year.
Interactive Data expects to retain all current 7ticks employees. After the expected completion of the deal in early 2010, 7ticks will be run as part of Interactive Data’s newly formed Real-Time Market Data and Trading Solutions Group. The division will be run by Jeffrey Banker, previously Interactive Data’s managing director of strategic market development.
“Increasing our penetration in the electronic trading sector is one of our top long-term strategic priorities and we believe that acquiring 7ticks will enable us to make significant progress in this area,” said Ray D’Arcy, Interactive Data’s president and chief executive officer, in a statement. “We are excited by the opportunities we see to elevate our value proposition to our global customer base by combining our low-latency consolidated market data services with ultra-low-latency managed connectivity from 7ticks.”