Contact:
Sharon Merrill Associates, Inc.
(617) 542-5300
ssolomon@investorrelations.com
Tradeware To Offer Cross-Border Execution and Settlement
Acquisition of Omiris Networks Will Create an
OMS/DMA Solution that Provides US and European
Broker/Dealers with Efficient, Transparent Global Securities Trading
Systems and Services.
New York and London, March 22, 2004 - Tradeware
Systems Corp. (Tradeware), a global provider of electronic order
management systems (OMS) and direct market access (DMA) trading
connectivity solutions, announced today that it has acquired the
business assets of Broker-to-Broker Networks Inc. ("B2B")
and its UK operating subsidiary, Omiris Networks Ltd. ("Omiris"),
a provider of cross-border electronic trading solutions. The acquisition
will enable Tradeware to offer an unprecedented service to the US,
Canadian and European financial services industries: broker and
market-neutral technology for cross-border securities execution
and settlement.
The Company's new Tradeware Global (UK) Ltd. subsidiary has
created a product that combines Tradeware's Financial Information
eXchange (FIX)-based OMS and connectivity solutions with Omiris
Networks' DMA platform. This combined platform will support
real-time access to the central limit order books at 22 stock exchanges
in 16 European securities markets, as well as cost-effective settlement
management services.
The Tradeware Global platform will provide investors with efficient
FIX-enabled DMA to multiple European liquidity pools at a fixed,
fully costed price of less than $15 per transaction. Traditionally,
the comparable service would be delivered by multiple vendors at
a fully costed price ranging from $100 to $300. The platform will
provide Tradeware's US broker/dealer customers with direct
trading connectivity to these European markets, and will increase
opportunities for European financial institutions to efficiently
access US and Canadian securities markets and investors.
"The increasing global importance of cross-border investment
has created an unsatisfied need for a truly disruptive technology,
and that in turn has created new market opportunities," said
Tradeware Chairman John J. Marino. "Tradeware Global's
non-broker/dealer-owned utility is just such a technology. Our platform
will satisfy the growing institutional demand for efficient international
DMA, as well as the industry's requirements for best execution
practices, order audit trail (OATS) information and general market
and transaction transparency. Consequently, Tradeware Global is
the only solution capable of electronically managing the full lifecycle
of a trade within a single commercial relationship. The resulting
cost savings will be tremendous, allowing Tradeware Global to charge
less than $15 per cross-border transaction."
"Equally important," Marino said, "Tradeware Global
will continue the Tradeware tradition of total trading neutrality,
allowing its customers to function as agent in 16 European markets,
just as Tradeware customers currently do when trading on listed
and OTC markets in the United States. In addition, the combined
Tradeware/Omiris network will provide our broker/dealer customers
with direct connectivity for executing trades on and between US
and European markets."
"In the four years since the founding of Omiris Networks,
Charles Giessen and his London-based team have addressed all of
the technical, regulatory and currency-related inefficiencies that
have long made cross-border trading so complex, slow and expensive,"
Marino said. "Using the Omiris platform, broker/dealers in,
for instance, Paris or Helsinki can execute and process the same
trades in, for example, Germany, in combination with local German
brokers, just as if they were operating in Frankfurt. Tradeware
Global will extend this functionality across the Atlantic using
B2B's unique regulatory status, providing American investors,
brokers and financial institutions with their first access to real-time
trading and T+1 clearing and settlement on European securities markets."
Giuseppe Bonini, co-head of Global Brokerage for Milan-based BANCA
IMI, said, "Omiris has been an outstanding partner in Banca
IMI's global expansion, providing us with an efficient, and a quality,
cross-border trading service. Tradeware's acquisition of Omiris
only increases the opportunities and broadens the scope of value-added
services that will benefit Banca IMI and its customers. Tradeware
Global will be an even stronger partner, and we look forward to
working with them."
"Low-cost, cross-border execution and settlement is an unprecedented
product that will expand Tradeware's presence beyond its strong
base in North America," said Marino. "Acquiring the
assets of B2B and Omiris Networks enables us to provide US financial
institutions with increased order-flow opportunities from Europe,
which will further accelerate Tradeware's growth in its home
country. In the coming months, we plan to introduce additional products
and services that will further broaden our offerings and reduce
our customers' operating costs."
About Tradeware Systems
Founded in 1993 and located on Wall Street, Tradeware specializes
in flexible FIX-based equity order management systems, FIX connectivity
solutions, and full front-to-back office integration and compliance
reporting services. Tradeware's open platform provides connectivity
for approximately 95 percent of the buy side and all major U.S.
listed and OTC marketplaces. Tradeware currently handles about seven
percent of NYSE daily volume. The Company's service bureau
business model offers customers the much sought-after benefits of
trading neutrality. More than 250 brokerage firms and institutional
investors around the world rely on Tradeware's products and
connectivity services.
Fact Sheet
Tradeware to Offer Cross-Border Execution and Settlement
at a Fixed Price of Less Than $15 per Transaction.
Acquisition of Omiris Networks Will Create an
OMS/DMA Solution that Provides US and European
Broker/Dealers with Efficient, Transparent Global Securities Trading
Systems and Services
Key Facts
The Transaction:
- Tradeware Systems Corp. (Tradeware) has acquired substantially
all of the business assets of Broker-to-Broker Networks Inc. (B2B)
and its UK operating subsidiary, Omiris Networks Ltd. (Omiris)
in a stock-for-stock transaction.
- Both companies are privately held; the terms, value and financial
aspects of the transaction are not being disclosed.
- The transaction closed March 16, 2004.
Strategic Rationale:
- Acquiring these assets will enable Tradeware to offer the US,
Canadian and European financial services industries broker and
market neutral technology for cross-border securities execution
and settlement.
- The combined Tradeware/Omiris platform will provide U.S. investors
with access to real-time execution and settlement on 22 stock
exchanges in 16 European securities markets within a single commercial
and technical relationship and at a fixed, fully costed price
of less than $15 per transaction. Traditionally the comparable
service would be delivered by multiple vendors at a fully costed
price ranging from $100 to $300.
- The acquisition combines Tradeware's Financial Information
eXchange (FIX)-based order management system (OMS) and connectivity
solutions with Omiris Networks' direct market access (DMA)
platform that supports real-time access to the central limit order
books at major European stock exchanges. This combined technology
will provide investors with efficient and cost-effective FIX-enabled
DMA to multiple European liquidity pools, providing Tradeware
clients with advanced technology tools that simplify the logistical
barriers that impede cross-border securities transactions. The
combined platform will provide Tradeware's US broker/dealer
customers with direct trading connectivity to these European markets
and will increase opportunities for European financial institutions
to efficiently access US and Canadian securities markets and investors.
- The platform will satisfy the growing institutional demand for
efficient International DMA, as well as the industry's requirements
for best execution practices, order audit trail information (OATS)
and general market and transaction transparency.
- The increasing global importance of cross-border investment
has created an unsatisfied need for a non-broker dealer owned
technology utility.
Organization:
- Tradeware Systems Corp. will operate these assets through a
UK subsidiary under a new brand, Tradeware Global (UK) Ltd.
- Tradeware Global will be headquartered in London
- Tradeware Systems Corp. will continue to be headquartered at
its existing offices on Wall Street
- All current employees of Omiris have accepted positions at Tradeware
Global
- Chuck Giessen, former Chief Executive Officer of Omiris, will
serve as a Managing Director of Tradeware Global
- Mark Elswood, former Chief Operating Officer of Omiris, will
serve as a Director and Chief Operating Officer of Tradeware Global
- The activities of Tradeware Systems Corp. will be managed by
a Transition Committee consisting of:
- Kerry M. Smithers, Chief Executive
Officer of Tradeware Systems Corp.
- Stacey L. Marino, Chief Financial
Officer of Tradeware Systems Corp.
- Cody Callihan, Global Head
of Sales of Tradeware Systems Corp.
- Chuck Giessen, Managing Director
of Tradeware Global
- Clay Stobaugh, Managing Director
of the U.S. operating company, Tradeware Systems LLC.
- Mark Elswood, Chief Operating
Officer of Tradeware Global.
In addition, Mark will head the Integration Team.
- The Transition Committee will report to the Tradeware Systems
Corp. Board of Directors.
Members of the Board are:
?? John J. Marino, Chairman
?? Kerry M. Smithers
?? Helen Frame Peters, Professor of Finance and former Dean, Boston College Carroll School of Management
Continuing Services:
- Tradeware Global will offer fully integrated global order routing
and settlement management to existing Omiris customers. These
services will allow broker/dealers, banks and other financial
intermediaries: worldwide seamless execution and settlement services
utilizing proprietary software technology, secure telecommunications
networks and high levels of customer support.
- Tradeware Systems will continue to provide its full range of
Financial Application and Network Services globally. These offerings
include:
- Market Center flexible FIX-based
OMS
- Market Center Exchange
- Market Edge
- FIXLink Network and connectivity
solutions
- Full front-to-back office integration and OATS-compliant reporting services.
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