Tradeweb completes Yieldbroker acquisition

The A$125 million acquisition broadens Tradeweb’s Asia-Pacific footprint, further opening the door to Australia and New Zealand.

Tradeweb Markets has closed its A$125 million acquisition of government bond and interest rate derivatives trading platform, Yieldbroker, following a regulatory review.

Tradeweb entered into a definitive agreement to acquire Australia-based Yieldbroker in an all-cash transaction in May.

At the time the deal was announced, the businesses stated that the move was set to leverage both firms’ extensive industry experience and innovative trading solutions in order to contribute to a more liquid, transparent and efficient fixed income market.

Yieldbroker clients are set to benefit from Tradeweb’s global multi-asset marketplace, and in return provide Tradeweb customers access to Australia and New Zealand’s growing bond and derivatives marketplaces, as well as the use of its pre-trade pricing data offering.

Enrico Bruni, head of Europe and Asia business at Tradeweb, said: “Tradeweb has seen a huge amount of growth outside of US and European markets with APAC leading much of that expansion. Tradeweb customers have been very positive about the acquisition, which will allow them to express nuanced views that include Australia and New Zealand as important parts of their global strategies through the single Tradeweb interface.”

Read more: Fireside Friday with… Tradeweb’s Enrico Bruni

Australian trading platform, Yieldbroker, covers the institutional, wholesale and primary markets across Australia and New Zealand and its dealer to client and dealer to dealer marketplace  has been in operation as an electronic platform for over 20 years.

Annually, it facilitates the trading of approximately A$6 trillion for its domestic customers in Australian and New Zealand debt securities.

Yieldbroker was jointly owned by banks active in local fixed income trading: ANZ, CBA, Citi, Deutsche, JPMorgan, Macquarie, NAB, RBC, TD, UBS and Westpac, and the Australian Securities Exchange (ASX).

Billy Hult, chief executive of Tradeweb, said: “Tradeweb and Yieldbroker share a strong commitment to client collaboration and continuous innovation, and both of us were born out of a dealer-owned structure.

“Now operating as one Tradeweb team based in Sydney, we are exceedingly well-positioned to seamlessly connect markets in Australia and New Zealand with our global network of clients and dealers.”