ETC Global Group, on behalf of its subsidiary companies, ETC Global Holdings, Electronic Transaction Clearing and Electronic Transaction Clearing Canada, entered into a new financing facility to provide up to $68 million in committed capital.
The financing is being provided by certain affiliates of Cerberus Capital Management and Quantlab Investments.
Proceeds from the financing will allow ETC to immediately expand its U.S. and Canada broker dealer clearing operations and position the company for further growth into new asset classes including options and FX, new product offerings including prime brokerage and stock loan, and other geographical regions, such as Europe.
“We at ETC are very excited to have Cerberus and Quantlab working along with us as we build upon and expand our capabilities in providing quality and efficient securities clearing services. Cerberus brings a wealth of resources, talent and relationships, as well as the financial wherewithal to help ETC realize and take advantage of the many clearing and prime brokerage opportunities we see in the market today,” said Harvey Cloyd, CEO of ETC Global Group.
“Cerberus is pleased to help ETC reach this important milestone in its development and to support it in its next phase of growth,” said Lee Millstein, senior managing director, Cerberus Capital Management.
ETC Global Group is a brokerage and clearing group, which, through its subsidiaries, offers clearing, settlement and custodial services to securities industries participants, such as broker-dealers, ATSs, routing firms, professional trading firms, black-box trading firms and hedge funds.