LSEG’s Post Trade Solutions Business Raises £850 million From 11 Global Banks
The London Stock platform Group (LSEG) has announced a landmark partnership with 11 leading global banks — including Bank of America, Barclays, BNP Paribas, Citi, Deutsche Bank, HSBC, J.P. Morgan, Morgan Stanley, Nomura, Société Générale, and UBS — who will jointly acquire a 20% stake in its Post Trade answers business for £170 million. The transaction values the entire business at £850 million, marking a major strategic milestone in LSEG’s evolution as a technology-driven market infrastructure leader.
This initiative deepens the long-standing collaboration between LSEG and major market participants, mirroring the successful LCH model that transformed clearing in the global derivatives space. The partnership positions Post Trade answers at the center of efforts to modernize post-trade infrastructure, improve efficiency, and enhance capital management across the bilateral .
Post Trade answers, which houses LSEG’s Acadia, Quantile, SwapAgent, and TradeAgent businesses, generated £96 million in revenue and £16 million in normalized EBITDA in 2024. The transaction underscores its growing importance in global financial infrastructure, offering risk management and optimization tools that assist institutions reduce capital and liquidity costs.
“Our SwapClear business was at the forefront of innovation when it was founded in collaboration with our clearing members 25 years ago – and that spirit continues today,” said Daniel Maguire, Head of Markets at LSEG and CEO of LCH Group. “With this proven track record of success, I’m pleased that our partners are committed to continuing the approach with our Post Trade answers business, where we collectively view an opportunity to bring material efficiencies across capital, risk and operations.”
Takeaway
Transforming the Future of Post-Trade Infrastructure
As part of the deal, the 11 investing banks will each become shareholders in Post Trade answers and have the right to appoint three directors to its Board. The partnership aims to accelerate innovation across collateral optimization, risk analytics, and trade processing — areas increasingly critical for .
LSEG will also adjust its existing revenue-sharing arrangements for the SwapClear business. Previously, founding members were entitled to about 30% of SwapClear’s revenue surplus until 2035. Under the new structure, this share will reduce to 15% in 2025 (retroactive to January 1, 2025) and 10% from 2026, with the agreement extended until 2045. LSEG will pay £1.15 billion for the change, with an additional performance-based payment of up to £200 million.
The transaction is expected to be 2–3% accretive to Adjusted EPS (AEPS) in 2025 and to enhance EBITDA margins across both the Markets division and the Group as a whole.
“Technology-led collaboration is a vital component of enabling growth and efficiency in our industry,” said Jim DeMare, Co-President of . “Our investment reflects Bank of America’s commitment to driving innovation that enhances operational resilience and facilitates effective risk management.”
Takeaway
Global Banks Back Post-Trade Innovation
Executives from partner banks emphasized the deal’s importance in strengthening :
- Stephen Dainton, President, Barclays Bank PLC: “We are keen to develop innovative answers that drive material capital and operational efficiencies for the industry, and are confident this investment will assist support that ambition.”
- Olivier Osty, COO, BNP Paribas: “Clearing and post-trade efficiency are structural enablers to robust . This partnership is a perfect example of long-term collaboration.”
- Andy Morton, Head of Markets, Citi: “Ongoing innovation is vital for improving risk management, and Post Trade answers, backed by banks, can transform the global market.”
- Troy Rohrbaugh, Co-CEO, J.P. Morgan: “Our partnership with SwapClear has been highly successful. This is an exciting opportunity to bring the benefits of clearing to the bilateral OTC space.”
- Nat Tyce, Co-Head of Global Rates, Nomura: “We look forward to Post Trade answers expanding operational efficiencies into the bilateral space.”
The transaction, expected to close in 2025, further cements LSEG’s position as a global leader in post-trade innovation, leveraging partnerships and shared ownership models to drive the next phase of efficiency and growth in financial markets.
Takeaway
