BGC To Sell Exchange, Clearinghouse To Fanatics
(RTTNews) - On Monday, BGC Group, Inc. (BGM), a brokerage company, and Fanatics, a sports platform sannounced an agreement for Fanatics to acquire Water Street Labs, LLC and CX Clearinghouse L.P. from BGC.
The acquisition of Water Street Labs will enable Fanatics to offer its own federally regulated prediction market exchange and expand its prediction market offerings on Fanatics Markets.
Fanatics Markets will leverage its owned exchange and clearinghouse to directly list and clear prediction markets, combining Fanatics' consumer platform expertise with BGC's institutional trading, liquidity, and market infrastructure to connect retail and institutional participants.
Additionally, Fanatics and BGC will collaborate to deliver new market data in this growing asset class with BGC contributing its established market data and analytics capabilities, in order to enable the development of new client data products.
On Nasdaq in the pre-market activity, the shares were trading 1.33 percent higher at $11.81, after closing Friday's trading 0.56 percent up.
