Creditex, the provider of electronic execution services in the credit derivatives market, and TA Associates, a leading private equity firm, today announced that TA will take an approximately $50 million minority stake in the company.
“We are pleased to partner with TA Associates. I’m delighted that TA has decided to make a substantial investment in Creditex and its future,” says Sunil Hirani, CEO of Creditex. “In addition to providing liquidity to our original shareholders, TA’s resources and networks will accelerate our growth plans to take advantage of the significant opportunities in the credit derivatives market.”
Hirani indicated that TA Associates’ history of working with financial technology companies was a major attraction in partnering with the firm. “TA’s track record in helping grow and expand financial technology companies makes them an ideal long-term partner,” he said. Hirani indicated that the strong growth of the global credit derivatives market over the past several years and the corresponding rapid development of Creditex are paving the way for more advancements in e-trading and e-processing. “We remain committed to our core strategy of delivering the highest-quality electronic execution and post-execution services and helping the dealer community reduce their transaction costs.” “We are very pleased to make an investment in Creditex, and we will lend the breadth and depth of our resources to help Creditex stay on its growth trajectory,” said Jonathan Meeks, a Principal at TA Associates who will be joining the Board of Creditex. “Creditex is the pioneer and the dominant e-trading platform in credit derivatives. It has brought significant innovations to this fast-growing space and will continue to provide products and services that will benefit the global credit derivatives community.”
TA’s prior investments include Affiliated Managers Group, AIM Management Group (AMVESCAP), Datek Online Holdings (Ameritrade Holding Corporation), GlobeOp Financial Services, ION Trading Group, Island ECN (Instinet Group Incorporated), Lava Trading and Thomson Advisory Group (PIMCO).