Markit, a provider of independent data, portfolio valuations and OTC derivatives trade processing to the global financial markets, has agreed to buy SwapsWire, the electronic trade confirmation network for the OTC derivative markets. The acquisition is expected to complete in early 2008, subject to regulatory approval. SwapsWire was the first to market with an automated service that enabled market participants to complete trade date confirmation immediately upon execution. The company provides an alternative to manual processes.
Today, SwapsWire is used by major dealers, inter-dealer brokers, prime-brokers and buy-side institutions active in the global OTC derivative markets. The company is owned by a consortium of 21 derivative dealers and employs 100 staff based in offices in London, New York and Tokyo.
Lance Uggla, Chief Executive Officer of Markit, comments: “The SwapsWire business is highly complementary to our current suite of data, valuations and processing products, and its confirmation capabilities fit neatly with Markit’s affirmation and workflow services. The need to automate trade processing has never been more acute, and we believe that the combination of Markit and SwapsWire delivers critical mass and will underpin the future growth of these markets, positioning us as a multi-asset class solution with strong presence in rates, equities and credit.”