And just like that, Citi takes a page from Goldman Sachs and Bank of America and leaves the automated trading space.
Market maker Citadel Securities today announced that it has acquired assets of Automated Trading Desk Financial Services, the automated equities market making business, from Citi.
This transaction will further enhance Citadel Securities position as an industry leader, help the firm provide retail investors with access to additional liquidity and offer strong execution quality to more clients. The addition of these ATD assets is the latest step in the expansion of Citadel Securities.
The press statement from Citadel did not reveal the value of the deal. Citigroup acquired ATD for an estimated $680 million in 2007. And according to Bloomberg, both Goldman Sachs have left these businesses recently.
This acquisition supports the growth of our industry-leading equities business and reflects our commitment to leveraging our global footprint, cutting-edge technology and trading expertise to meet the diverse needs of our clients as traditional providers continue to exit this space, said Jamil Nazarali, Head of Citadel Execution Services.
According to Bloomberg, Nazarali declined to comment on whether ATD co-founder Steve Swanson will stay on as part of the deal. Citadel isnt purchasing the part of ATD that trades options.
The acquisition follows the recent announcement of Citadel Securities purchase of KCG Holdings Designated Market Maker business at the New York Stock Exchange.
Citadel Securities is the leading retail equities market maker, executing approximately 14 percent of U.S. consolidated volume in listed equities and 34 percent of U.S. retail equities volume as well as approximately 21 percent of U.S.-listed equity options volume.
