Tradeweb Markets Inc. (Nasdaq: TW) (“Tradeweb” or the “Company”), a global leader in electronic trading facilitating more than $3.0 trillion in value per day across asset classes, announced that it has entered into a definitive agreement to acquire Trumid Holdings, LLC (“Trumid”), a financial technology company and electronic credit trading marketplace, for a purchase price of approximately $1.97 billion, subject to customary adjustments, which is comprised of $1.75 billion for the business and approximately $220 million[1] for tax assets being acquired.
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Tradeweb and Trumid share a strong and established commitment to technology and innovation; the platforms have highly complementary trading protocols developed through close collaboration with the dealer community. The combined suite of credit trading products will further differentiate Tradeweb’s multi-asset class platform, in part by expanding into earlier stages of the bond lifecycle, going from trade inception to the secondary market on one platform, creating a new differentiated capability for the industry.
Billy Hult, CEO of Tradeweb, said: “This acquisition represents an important step forward in our ambition to make credit markets more efficient and provide clients with smarter ways to access liquidity. We believe U.S. credit represents a significant long-term growth opportunity, particularly as the market continues to embrace electronic execution and as clients seek increasingly sophisticated solutions to navigate liquidity and achieve better outcomes. Trumid has built an innovative platform that is well positioned for where the market is headed. By bringing our capabilities together under Tradeweb, we can accelerate innovation, broaden the solutions we offer clients, and create an even more differentiated trading experience. We are excited about this combination and the value we can deliver together to clients over the long term.”
Mike Sobel, Co-CEO and President of Trumid, said: “We look forward to incorporating our innovative protocols, agile technology, and collaborative client-centric approach to product development into Tradeweb’s global footprint and client network. Our teams share dual passions for technology and client experience. Together, we’ll build on what we've created, accelerate innovation, and deliver an even stronger and more intelligent trading experience for our combined networks of buy and sell-side clients globally. I’m personally excited to continue the momentum as part of the Tradeweb team.”
Strategic Rationale and Financial Benefits
The acquisition is expected to further differentiate Tradeweb’s platform and deliver compelling strategic and financial benefits, including:
Creating a differentiated multi-protocol credit offering. Combining the best of the platforms’ shared protocols with the unique workflows from each, including Tradeweb AllTrade and Trumid’s Swarms and Attributed Trading, will enable clients to access a broader range of liquidity pools. The ecosystem of protocols will be enhanced with automation and AI-enabled trade decisioning tools and differentiated data and analytics offerings.
Positioning Tradeweb earlier in the credit lifecycle. The acquisition will expand Tradeweb’s capabilities into grey markets and new issue trading, positioning the Company to capitalize on increased bond issuance and continued electronification across these markets.
Strengthening dealer relationships and product delivery. Both organizations share a strong commitment to the dealer community and maintain deep relationships with leading global banks, creating opportunities to accelerate adoption and bring new solutions to the market.
Expanding Tradeweb’s penetration across market participants. Tradeweb’s established partnership with the largest institutional investors across asset classes complements Trumid's strong footprint with hedge funds and systematic market participants.
Scaling credit innovation globally. Combining Tradeweb’s global reach with Trumid’s nimble approach to U.S. product development will scale credit innovation in both developed and emerging markets.
Delivering attractive financial benefits. The transaction is expected to be accretive to Tradeweb’s adjusted earnings per share within the first full year following closing. The accretion is expected to increase in each subsequent year as expense synergies are realized.
Additional Transaction Details
Under the terms of the agreement, the total consideration for the transaction will consist of approximately $1.89 billion of cash, subject to customary adjustments, and $82 million in equity. The cash portion of the consideration is expected to be funded primarily through cash on hand.
The transaction has been unanimously approved by the Boards of Directors of Tradeweb and Trumid, and is subject to customary closing conditions, including the receipt of regulatory approvals. It is targeted to close in the first half of 2027.