Financial technology and electronic trading company Nex announced a revenue increase today ahead of its acquisition by CME Group.
In the period from 1 April 2018 to 30 June 2018 the company grew revenue by seven per cent on a constant currency basis, the equivalent of three per cent on a reported basis.
Read more: CME Group agrees deal to acquire Michael Spencers Nex for £3.9bn
Chief executive Michael Spencer said: “We've seen a solid start to the year with episodic volatility driving volumes across the EBS and BrokerTec platforms and increased demand for our products and services from TriOptima and Reset. As previously outlined, the transaction with CME remains on track to complete in the second half of the current calendar year."
Nex said that revenue in the quarter had benefited from divisional performance and foreign exchange hedges.
Electronic marketplace Nex Markets grew revenue by two per cent on a constant currency basis but on a reported basis contracted by two per cent.
The company said “the phasing of the CFETS revenue recognition held back revenue growth”.
Read more: Michael Spencer hails CME-Nex deal as important post-Brexit symbol
Nex did a deal with China Foreign Exchange Trade System (CFETS) in 2017 to launch a combined electronic foreign exchange platform for the Chinese market.
Nex Optimisation, which focuses on mitigating risk, increasing efficiency and reducing costs, increased revenue by seven per cent on a constant currency basis and four per cent on a reported basis during the first quarter compared to the same period last year.
In March CME Group, which owns derivatives and futures exchanges in Chicago and New York, agreed to buy Nex for £3.9bn.
