London Stock Exchange buys trading firm TORA in digital asset push

London Stock Exchange TORA

The London Stock Exchange Group (LSEG) has acquired US trading tech company TORA in a $325m deal that could give the UK’s main market the capability to offer digital asset trading.

TORA provides cloud-based execution management system (OEMS) software across equities, fixed income, foreign exchange, derivatives and digital asset trading.

LSEG, like a growing number of institutions, has been exploring digital asset and crypto-based services following growing mainstream interest in technologies such as non-fungible tokens (NFTs).

The London Stock Exchange’s parent company said in a statement that “the addition of digital assets [to its] trading capabilities strengthens its presence in this rapidly expanding asset class”.

LSEG previously invested in blockchain technology in 2019, when the group purchased a stake in Nivaura, a London-based digital asset management company that was behind the automation of cryptocurrency-denominated bond issuances.

LSEG expects the TORA deal to close later this year, pending regulatory approval.

TORA will sit within LSEG’s data and analytics division as part of its trading and banking solutions business.

The deal will also allow LSEG to expand its reach globally, by making use of TORA’s presence in North America and Asia.

Robert Dykes, TORA CEO said: “Change is needed to evolve, and as we look to grow our global business, we couldn’t have asked for a better partner than LSEG.

“We see this complementary combination as an incredible opportunity to create the most advanced trading solutions for clients.”

LSEG’s head of trading and banking solutions, Dean Berry, said: “Acquiring TORA will enable LSEG to deliver critical ‘at trade’ capabilities for the buy side, seamlessly connecting into our next generation desktop Workspace.”

Berry added: “Combining TORA’s international footprint with LSEG’s global reach will drive further growth and we look forward to collaborating in order to continue this expansion.”

TORA previously partnered with investment firm Kenetic in 2018, resulting in the launch of Caspian, a crypto trading and asset management platform.