BATS Global Markets and Direct Edge Receive SEC Approval to Merge01.31.2014
All Regulatory Approvals Now Complete; Transaction Close Expected Within Days
KANSAS CITY, Mo., and JERSEY CITY, N.J. – January 31, 2014 – BATS Global Markets, Inc. (BATS) and Direct Edge Holdings LLC (Direct Edge) today announced the receipt of Securities and Exchange Commission (SEC) approval for their merger and expect to close the transaction within days.
The merger of BATS and Direct Edge, which was announced in August 2013, combines two customer-focused securities exchange operators under the BATS Global Markets brand to drive further innovation and better serve the trading and investing community.
Joe Ratterman, CEO of BATS Global Markets said, “With the final regulatory approval received, we are focused on closing the merger during the current quarter and beginning the integration of our two highly complementary companies.”
William O’Brien, CEO of Direct Edge, said, “We are pleased to reach this important milestone and look forward to leveraging the best-in-class offerings and unique resources from both organizations as we continue to work in partnership with our customers.”
Upon closing, Mr. Ratterman will continue in his role as CEO of BATS Global Markets and Mr. O’Brien will be President.
The combined company will remain headquartered in the Kansas City, Mo., area and continue to operate all four existing U.S. equities markets currently run by BATS and Direct Edge — the BATS’ BZX and BYX Exchanges and Direct Edge’s EDGX and EDGA Exchanges. The technology integration will include the transition of the Direct Edge equities exchanges to the proprietary BATS technology platform.
Details regarding all aspects of the integration will be released in due course following the transaction closure.
The December 2013 U.S. equities market share for BATS was 9.9% and for Direct Edge was 10.4%.
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About BATS Global Markets, Inc.
BATS Global Markets, Inc. is a leading operator of securities markets in the U.S. and Europe. In the U.S., BATS operates two stock exchanges, the BATS BZX Exchange and BYX Exchange; BATS Options, a U.S. equity options market; and the BATS 1000 Index, an innovative U.S. equities market benchmark. The BATS BZX Exchange is a primary listings venue for exchange-traded products. In Europe, BATS Chi-X Europe, a Recognised Investment Exchange regulated by the UK Financial Conduct Authority and the largest pan-European equities exchange by market share and value traded, offers trading in more than 3,600 equities across 25 indices and 15 major European markets and a listings venue for exchange-traded products. The company is headquartered in the Kansas City, Mo. area, with additional offices in New York and London. For more information, visit www.bats.com.
BATS and its affiliates do not recommend or make any representation as to possible benefits from any securities or investments, or third-party products or services. Investors should undertake their own due diligence regarding their securities and investment practices. This press release speaks only as of this date. BATS disclaims any duty to update the information herein.
About Direct Edge
Direct Edge is one of the leading stock exchange operators in the United States and globally. Headquartered in Jersey City, New Jersey, Direct Edge offers dynamic trading functionality across two distinct platforms, EDGA and EDGX, as well as connectivity and market data services. Its commitment to innovation and superior customer service helps its Members move their business lives forward. In November of 2011, Direct Edge announced plans to expand internationally with the opening of Direct Edge Brazil, a Rio de Janeiro-based electronic stock exchange for the trading of Brazilian equities. Direct Edge is owned by a consortium that includes affiliates of Citadel LLC; Goldman Sachs Group, Inc.; International Securities Exchange, LLC; JPMorgan Chase & Co.; and KCG Holdings, Inc. More information is available at www.directedge.com and www.directedge.com.br.
BATS Global Markets:
Randy Williams +1.212.378.8522
Stacie Fleming +1.913.815.7193
Suzanne O’Halloran +1.212.378.8526
Kelly Bailey +1.913.815.7160
Jim Gorman +1.201.942.8234