Lava Trading Inc. Secures $30 Million in Financing Led By TA Associates.Business/Technology Editors BOSTON & NEW YORK--(BUSINESS WIRE)--April 9, 2002 Profitable and Growing Financial Services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. Technology Firm Provides Wall Street Neutral and Direct Access to All Major Sources of Liquidity Lava Trading Inc., a leader in providing market data distribution, trading technology, and Electronic Communication Networks (ECN (Electronic Communications Network) A computerized, private financial trading system. Terra Nova Trading (www.terranovatrading.com) and Instinet (www.instinet.com) are examples. ) and exchange connectivity for NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on market makers, broker dealers, and large institutional investors, announced it has secured $30 million in financing led by TA Associates, one of the nation's leading private equity firms. Located in New York City New York City: see New York, city. New York City City (pop., 2000: 8,008,278), southeastern New York, at the mouth of the Hudson River. The largest city in the U.S. , Lava, as a neutral party, maximizes trader's access to multiple ECNs, increases desk productivity, and lowers floor transaction and communication costs. With a narrowing of spreads through decimalization Decimalization The process of changing the prices that securities trade at from fractions to decimals. Notes: The reasoning behind this was to make prices more easily understood by investors, and to bring the United States into conformity with international practices. , fragmentation of liquidity among ECNs, and regulatory changes, traders are forced to find new systems to trade quickly, access multiple pools of liquidity, and provide a consolidated view of the market while remaining anonymous. "A strategic partnership with an outstanding firm such as TA Associates enables us accelerate our progress and take full-advantage of the success of our current products and services," said Richard Korhammer, co-founder and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Lava Trading. "TA's experience in technology, financial services, and investment management will provide us with a wealth of insight as we continue to grow." "We are excited to be partnering with Lava Trading," said Jonathan W. Meeks, a Vice President at TA Associates. "Lava's patented technology provides the solution for the fragmentation of the equity markets. This technology has been validated by the most demanding traders at the largest investment banks The following is a list of investment banks Financial conglomerates Large financial-services conglomerates combine commercial banking and investment banking, and sometimes insurance. , and has exciting applications providing direct access to institutional traders." According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. analysts, ECNs account for about 45% of all NASDAQ volume. Since going live in February of 2001, Lava continues to experience steady growth in revenues and volume. Through Lava, its customers are executing 150 to 200 million shares a day, or nearly 10% of NASDAQ's daily volumes. Lava has already enlisted 10 of the 13 largest investment banks as users. The investment in Lava Trading is another example of TA's commitment to invest in profitable and rapidly growing financial services and technology companies. Among TA's investments are Affiliated Managers Group, AIM Management Group (AMVESCAP plc), BMC Software, Datek, Finisar, Lawson Software and Network Appliance. Lava's initial investors, Internet Finance Partners (IFP (1) (Intelligent Forms Processing) Using advanced techniques to scan documents and determine their data content. See ICR. (2) (Integer Factorization Problem) The difficulty of finding prime numbers in an encryption key. ) and LaBranche & Co. Inc., also participated in this round. LaBranche & Co. Inc. is a leading specialist on the New York Stock Exchange New York Stock Exchange (NYSE) World's largest marketplace for securities. The exchange began as an informal meeting of 24 men in 1792 on what is now Wall Street in New York City. and Internet Finance Partners, L.P. is a Schroder's-owned venture partnership dedicated to investing in leading-edge technologies in the financial services sector. About Lava Trading Inc. Lava Trading, Inc. is a technology company that develops high-performance software for the trading floor, and operates that software and datacenters as a Specialized Applications Service Provider (SASP SASP Separation and Airspace Safety Panel SASP State Agencies for Surplus Property (distribution of government surplus property) SASP Small Arms Serialization Program SASP Special Ammunition Supply Point SASP Surface Air Sampling Program ) for its clients. High-volume trading organizations that choose Lava's suite of solutions benefit from best-of-breed trading technology proven to make their trading more profitable and efficient combined with significant operational and technical savings from choosing Lava's unique SASP approach. Lava Trading is located in New York City and is privately held. About TA Associates Founded in 1968, TA Associates is one of the oldest and most experienced buyout and private equity firms in the U.S. With offices in Boston, Menlo Park, and Pittsburgh, TA manages over $5 billion in capital and has invested in 330 companies. TA Associates provides growth equity capital and buyout financing for technology, financial services and healthcare related businesses. More information about TA Associates can be found at www.ta.com. |
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