Crestview Partners said Wednesday that it has agreed to invest in Arxis Capital Group. Financial terms were not disclosed. New York-based Arxis is an electronic market maker. Sandler O’Neill and Partners advised Arxis.
NEW YORK, Sept. 30, 2015 /PRNewswire/ — Crestview Partners, a leading private equity firm, announced today that funds that it manages have agreed to make an equity investment in electronic market maker, Arxis Capital Group. Financial terms were not disclosed.
Founded in 2014, Arxis operates a technology-driven trading platform that provides liquidity in financial markets by offering to buy and sell securities on an automated basis. Arxis is led by Founder and CEO Gene Reilly, the former head of Bank of America Merrill Lynch’s global quantitative market making desk, and Executive Chairman Tom Joyce, the former Chairman and CEO of Knight Capital Group.
Quentin Chu, a Partner at Crestview, said, “This investment represents a compelling opportunity for Crestview to back a high quality management team with a strong market making platform and to benefit from the increasing electronification of trading across different asset classes. We are also pleased to have Arxis’ management as significant investors alongside us.”
Gene Reilly, Founder and CEO of Arxis, added, “We are very excited to partner with a firm as strong and highly-respected as Crestview. The substantial capital investment Crestview is making in Arxis will support our business as we expand across geographies and asset classes and launch our client-focused wholesale market making division. We believe Arxis is well-positioned to benefit from higher volatility in global markets, as well as the continued growth in ETFs and the expected electronification in fixed income.”
Arxis is an electronic trading firm specializing in the automated market making of global securities. Its goal is to develop and utilize technological innovations that intelligently analyze data in order to deliver liquidity across all asset classes. It is headquartered in New York, with operations in London and Hong Kong. Arxis was formed in 2014 by senior equities trading executives from Bank of America Merrill Lynch’s Global Market Making Business.
Founded in 2004, Crestview is a value-oriented private equity firm focused on the middle market. The firm is based in New York and manages funds with over $7 billion of aggregate capital commitments. The firm is led by a group of partners who have complementary experience and distinguished backgrounds in private equity, finance, operations and management. Crestview’s senior investment professionals primarily focus on sourcing and managing investments in each of the specialty areas of the firm: energy, financial services, healthcare, industrials and media. For more information, please visit www.crestview.com.
Arxis was advised by Sandler O’Neill and Partners and Paul, Weiss, Rifkind, Wharton & Garrison. Crestview was advised by Davis Polk& Wardwell.