The Turkish Derivatives Exchange (TurkDEX) has agreed a $6m licence-and-support contract with specialist derivatives technology provider Patsystems. TurkDEX will pay US$4 million to license the Patsystems exchange, trading and risk management technology and for related implementation services. It will also pay US$2 million for support and maintenance services over ten years.
After a global selection process to rebuild its exchange infrastructure, TurkDEX selected Patsystems to provide a complete exchange system with matching, clearing and settlement capabilities supported by the Patsystems Matching Engine. TurkDEX will implement the latest version of Patsystems’ trading software, which will include Patsystems’ internet-deployable front-end trading platforms, J-Trader and Pro-Mark. The exchange will also utilise Patsystems’ risk management systems Risk Informer and Risk Alert.
Work on the project has already started and futures and options trading on the new platform is expected in November 2010, with further extended functionality scheduled to go live in 2011.
TurkDEX CEO Cetin All Donmez said, “Patsystems was able to provide the exchange, risk and trading software systems required by TurkDEX as an integrated package within a relatively short time span. We believe that this project will be a candidate for innovation awards within the derivatives exchange industry. The new technology platform in terms of derivative products range and low latency is an important foundation of TurkDEX future growth plans.”