The LSEG specifically outlined Tora’s exposure to digital assets as part of the reason for the acquisition.
On Tuesday, the London Stock Exchange Group, or LSEG, announced the acquisition of US-based cloud technology provider Tora for $325 million; the deal should close in the second half of the year. Tora offers software trading solutions for clients exposed to Stocks, Forex, Bonds, Derivatives and Cryptocurrencies. In justifying the acquisition, LSEG specifically highlighted the importance of the latter:
"Adding digital assets to LSEG's trading capabilities strengthens its presence in this rapidly expanding asset class at a time when institutional market participants are increasing exposure to cryptocurrencies and other digital assets."
Tora’s cryptocurrency trading solution is called Caspian. According to its whitepaper, Caspian “aggregates prices, bid/ask information, orders, positions, accounts, and executions from multiple cryptocurrency exchanges and other sources, presenting the information on a single platform.” It then allows users to send order information to cryptocurrency exchanges individually or to multiple exchanges at once using its Smart Order Router technology. The software itself is aimed at institutional clients and offers order execution, portfolio management, compliance, risk management, and reporting tools.
Additionally, the company completed a Caspian (CSP) token sale in October that raised $19.5 million. CSP is based on Ethereum (ETH) and can be staked for discounts on the Caspian platform.
Regarding the acquisition, LSEG’s head of banking and trading solutions, Dean Berry, said: “This transaction is a significant extension of our global trading business. The acquisition of Tora will enable LSEG to provide critical trading capabilities to the buyer.” Meanwhile, Robert Dykes, CEO of Tora, added: “I am delighted to be part of LSEG. Tora has grown completely organically since we formed in 2004. We are proud that all of our products have been built independently. – home from day one.”