Toronto-based BMO Financial Group has acquired New York-based Clearpool Group Inc, a provider of electronic trading solutions. No financial terms were disclosed. BMO Capital Markets served as financial advisor to BMO while Financial Technology Partners did likewise for Clearpool.
NEW YORK and TORONTO, April 6, 2020 /PRNewswire/ – BMO Financial Group (NYSE, TSX: BMO) today announced that it has completed the acquisition of Clearpool Group, Inc., a New York-based provider of holistic electronic trading solutions and an independent agency broker-dealer operating in the U.S. and Canada.
BMO announced the acquisition on January 22, 2020. The transaction delivers powerful new capabilities to BMO’s electronic trading platform. As the nature of equity trading shifts to increased emphasis on electronic trading, the acquisition of Clearpool demonstrates BMO’s commitment to delivering leading edge trading technology to its global client base.
Clearpool continues to be a separate broker-dealer with information barriers to secure clients’ confidential information.
The acquisition is not expected to have a significant impact on the financial results of the bank and will reduce CET1 ratio by approximately 10bps.
In connection with the transaction, BMO Capital Markets acted as financial advisor and Debevoise & Plimpton LLP and Osler, Hoskin & Harcourt LLP acted as legal counsel to BMO. Financial Technology Partners acted as financial advisor and Morgan, Lewis, & Bockius LLP, Murphy & McGonigle and Stikeman Elliott LLP acted as legal counsel to Clearpool.
About BMO Capital Markets
BMO Capital Markets is a leading, full-service North American-based financial services provider offering corporate, institutional and government clients access to a complete range of products and services including equity and debt underwriting, corporate lending and project financing, mergers and acquisitions advisory services, securitization, treasury management, market risk management, debt and equity research and institutional sales and trading.
With approximately 2,700 professionals in 33 locations around the world, including 19 offices in North America, BMO Capital Markets works proactively with clients to provide innovative and integrated financial solutions.
BMO Capital Markets is a member of BMO Financial Group (NYSE, TSX: BMO) one of the largest diversified financial services providers in North America with $880 billion total assets as of January 31, 2020.
Launched in 2014 and based in New York, Clearpool Group, Inc. offers holistic electronic trading solutions and provides independent agency broker-dealer execution services. With over 100 Algorithmic Management System (AMS) broker-dealer clients and executing approximately 2% of the US equity market volume, Clearpool empowers market participants to achieve better quality executions in an evolving equity market microstructure and competitive landscape.