Tradeweb Stock Tumbles 11% on $1.97 Billion Trumid Deal

3-line summary

• Tradeweb agreed to acquire fintech Trumid, which operates an electronic credit (bond) trading platform with dealer and buy-side client relationships, trading protocols, and data, in a deal valued at about $1.97 billion — $1.75 billion in business value plus roughly $220 million in tax assets; consideration consists of about $1.89 billion in cash (mainly from existing cash) and about $82 million in equity.
• The acquisition expands Tradeweb into gray-market and new-issue bond trading, aiming to connect new-issuance activity with post-issuance secondary trading; Tradeweb shares fell 11.3% in after-hours trading following the announcement.
• Both companies' boards unanimously approved the deal, with Morgan Stanley advising Tradeweb and Goldman Sachs advising Trumid; a conference call is set for Tuesday at 8:30am EDT, and the deal is targeted to close in the first half of 2027, subject to customary closing conditions including regulatory approval. Tradeweb said the deal is expected to boost adjusted EPS from the first full fiscal year after closing, with the benefit growing as cost synergies are realized; CEO Billy Hult called it 'an important step forward in our goal to make credit markets more efficient.'

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