London Stock Exchange Group plc (‘the Group') announced today it has completed its acquisition of MillenniumIT for $US30 million. The transaction will provide the Group with a new, high performance trading platform and an agile, efficient, in-house IT development capability and give MillenniumIT the backing it needs to enable it to develop further its global exchange technology business.
To mark the completion, Xavier Rolet, Chief Executive of London Stock Exchange Group and Doug Webb, CFO are visiting MillenniumIT's Corporate Headquarters and Software Development campus in Colombo. As part of their trip, Xavier and Doug will meet with senior government officials and business executives from leading Sri Lankan companies.
Commenting on the completion, Xavier Rolet said:
"MillenniumIT will transform our in-house IT development capabilities by giving us proprietary ownership of our technology, allowing us to be more responsive to our clients' needs, delivering enhancements and innovations more quickly, and at lower cost.
"This deal, made on the basis of MillenniumIT's track record, business model and the growth potential it offers the Group, is a tribute to Tony and his team of technology experts. I am delighted to be here in Sri Lanka today to personally welcome them to the Group."
Tony Weeresinghe, CEO of MillenniumIT, said:
"MillenniumIT looks set for an exciting future as part of the Group. We intend to leverage the Group's strong global franchise to further develop our global exchange technology sales business, continuing to support our existing customers, as well as expanding the company into other markets and investing for the future."
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Notes to editors:
MillenniumIT was founded in 1996, with corporate HQ and Software Development located in Colombo, Sri Lanka. It employs 451 people, in two divisions - Proprietary Software Products and Enterprise Service. In the financial year ended 31 March 2009, MillenniumIT generated revenues of US$28 million.
MillenniumIT systems are used by ICAP, the London Metal Exchange, and a series of emerging market exchanges and depositories and have been previously deployed at the American Stock Exchange and the Boston Stock Exchange.
MillenniumIT's suite of capital market products includes Millennium Exchange (multi-product trading platform), Millennium SOR (smart order router), Millennium Surveillance (market surveillance and regulatory compliance system) and Millennium Depository (integrated clearing, settlement and depository functions).
About London Stock Exchange Group:
London Stock Exchange Group is Europe's leading diversified exchange business, incorporating Borsa Italiana and London Stock Exchange. With over 500 member firms and more than 3,000 companies quoted across its markets, the Group operates the largest and most liquid equity marketplace in Europe.
The Group offers trading in a wide range of instruments, holding the number one position in trading exchange traded products (ETFs and ETCs) and through its interest in MTS, is the leading platform for the trading of fixed income products. Through MOT it offers a comprehensive range of European corporate and government bond trading services. Its Italian Derivatives Exchange Market (IDEM) sees over €2.5 billion worth of trading every day, and through EDX London the Group provides a facility for the trading of Scandinavian and Russian equity derivatives.
London Stock Exchange Group also offers post-trade services such as netting, clearing and settlement on an efficient and competitive basis. These include services from Monte Titoli, the Central Securities Depository for all Italian financial instruments, and Cassa di Compensazione & Garanzia (CC&G), which in July 2009 was granted Recognised Overseas Clearing House (ROCH) status by the FSA to operate in the UK.
London Stock Exchange itself is the world's most international exchange with over 600 overseas companies from more than 70 countries quoted on its markets. These figures include international companies on AIM, the London Stock Exchange's growth market, which has grown to become the world's most successful market for small and medium sized enterprises with 1,385 companies at the end of July 2009.