Stock exchange operator Euronext invested $10m in US-based bond information platform developer Algomi on Friday, about four months after the companies signed a joint venture agreement.
Founded in 2012, Algomi has created software that helps users such as banks, institutional investors, inter-dealer brokers and exchanges to communicate with each other and facilitate large and illiquid voice trades between them.
Algomi and Euronext formed a JV in November that will involve them launching a collaborative network for pan-European corporate bond trading. Paul Humphrey, head of fixed income, rates & FX for Euronext, will join Algomi’s board of directors.
Stéphane Boujnah, Euronext’s chief executive, said: “This partnership with Algomi is central to our fixed-income ambitions and our wider [fixed income, currencies and commodities] diversification plans as part of our ‘Agility for Growth’ plan.
“As a strategic investor taking a board seat, we will be in a strong position to oversee the successful growth of the business, and consolidate future trading activity globally.”
Algomi has not revealed details about its earlier funding but its shareholders include venture capital firm Lakestar and strategic angel investors including Howard Edelstein.