Nasdaq agrees to buy Thoma Bravo’s Adenza for US$10.5 billion

Nasdaq Inc. agreed to buy financial-software maker Adenza from its private equity owners in the exchange operator’s biggest-ever deal.

The acquisition is valued at US$10.5 billion in cash and stock, Nasdaq said in a statement on Monday. Thoma Bravo, the buyout firm that owns Adenza, is set to get a 14.9 per cent stake in Nasdaq and a seat on the board as part of the deal, the company said. 

Chief Executive Officer Adena Friedman said she is working to build up the exchange operator’s software business, which now accounts for more than a third of Nasdaq’s annualized recurring revenues. Software sales to financial firms are more predictable, insulating the business from trading volatility.

“We’re trying to make sure we’re buying the best-in-breed companies to solve and serve clients so that we can really be the best partner we can be to banks and brokers around the world,” Friedman said in an interview.