BATS Europe, the multilateral trading facility (MTF) owned by US market operator BATS Global Markets, has set out its technology timetable for merging with fellow MTF Chi-X Europe, contingent upon regulatory approval of the acquisition.
BATS Global Markets reached a definitive agreement to purchase Chi-X Europe at the end for February, for a fee believed to be around US$300 million. The deal has received the green light from UK regulator the Financial Services Authority, but is now awaiting approval for the deal from the Office of Fair Trading.
The firm has set an initial go-live date for 12 September, at which time Chi-X Europe will migrate onto BATS Europe's technology platform at Equinix's data centres in Slough and Park Royal. A contingency date of 26 September has also been set for the switchover.
The second migration phase, scheduled for 10 October, will see BATS Europe move its integrated and dark order books from the data centre it uses in Docklands to Equinix's Slough facility.
Two dress rehearsals for the migration have been set for 20 August and 3 September.
Subject to final confirmation, the BATS Global Markets timetable also states that the combined entity plans to retain both firms' integrated and dark books. Members will be able to access the platforms of both MTFs via a single network interface.
Talking to theTRADEnews.com after the deal was agreed, Mark Hemsley, CEO of BATS Europe, and CEO-designate of the combined entity, said that establishing multiple order books would enable the firm to offer clients flexibility on price.
“Different customers are sensitive to different pricing points so [the acquisition] is an excellent opportunity to provide an improved joint offering,” he said.