Deutsche Börse acquires majority interest in Quantitative Brokers

Maria Nikolova

Quantitative Brokers’ co-founders, Christian Hauff and Robert Almgren, will continue to lead the company and hold significant personal stakes.

Deutsche Börse has announced the acquisition of a majority interest in Quantitative Brokers, an independent provider of advanced execution algorithms and data-driven analytics for global futures, options and interest rate markets.

The transaction moves Deutsche Börse closer to the sources of trading interest in the buy side value chain, contributing to the Trading & Clearing division’s buy side focused growth initiatives. In the Exchange Traded Derivatives segment, it will accelerate buy side product adoption and order flow attraction.

The company will be majority owned by Deutsche Börse, with the founders retaining significant portions of their shareholdings and continuing in their respective roles; Christian Hauff will continue as CEO and Robert Almgren as Chief Scientist.

Quantitative Brokers’ portfolio of algorithms, simulation tools and analytics is used by some of the world’s largest institutional investors. QB’s offering services the increasing demand for intelligent and transparent solutions to manage execution cost and performance via a broker-neutral workflow. The QB algorithms are uniquely engineered for both central limit order books and OTC liquidity streams while accessible via all major execution and order management systems used by the buy side, banks and brokerage houses.

Quantitative Brokers’ 2020 revenues are expected to be around $25 million. Besides further double-digit revenue growth at Quantitative Brokers, the combined business is expected to deliver significant synergies.

The parties expect to finalize the transaction by the end of this year, with the closing date remaining contingent on required regulatory approvals. Specific terms of the transaction were not disclosed.

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