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Bats Global Markets completes acquisition of Javelin SEF

First Published 2nd November 2016

Deal to broaden FX instruments available to trade on Bats Hotspot.

Chris Concannon, Bats Global Markets

Chris Concannon, Bats Global Markets

Kansas City, New York, and London - Bats Global Markets has completed its acquisition of Javelin SEF, a swap execution facility.

The deal was announced on August 11, 2016 and received approval from the Commodity Futures Trading Commission (CFTC) on October 23, 2016. Javelin has been integrated with Bats Hotspot, the institutional FX trading platform, in order to enable trading in non-deliverable forwards (NDFs). Hotspot already offers trading in outright deliverable forward contracts.

Dodd Frank provisions mandate that certain market participants trade NDFs on SEFs. According to the latest Bank for International Settlements (BIS) triennial survey, total NDF daily turnover was $127bn as of 2014, and accounted for 19% of all forward currency trading globally.

"This acquisition broadens the instruments available to trade on Bats Hotspot, and reiterates our commitment to developing our FX marketplace," said Chris Concannon, CEO of Bats Global Markets.

In the same month, Bats announced a transaction agreement with CBOE Holdings under which CBOE will acquire Bats.