FT Partners Advises MarketAxess in its Sale of a Minority Stake for $35 Million
Transaction Profile |
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Overview of Transaction
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On June 3, 2008, MarketAxess announced the sale of a minority stake for approximately $35 million to Technology Crossover Ventures (TCV) and also adopted a comprehensive shareholder rights plan ("poison pill") with a 20% trigger |
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The TCV investment consists of a mix of Series B Preferred Stock and warrants to purchase shares of the company's common stock; contains a 1 year lockup, a 7 year standstill provision and an automatic conversion to common |
Significance of Transaction
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$35 million investment at $10.00 per share represents a ~34% premium over the closing stock price on June 2, 2008 |
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Adoption of a comprehensive shareholder rights plan protects the company from unsolicited or coercive takeover attempts |
FT Partners' Role
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FT Partners served as exclusive strategic and financial advisor to MarketAxess and its Board of Directors on the $35 million private investment and the shareholder rights plan |
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FT Partners designed the transaction structure and negotiated the per share price and warrant structure |
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