LMAX Group, an institutional crypto and FX trading platform, is working with Morgan Stanley and KBW on a potential sale or IPO that could value the company at up to $5 billion.
Institutional crypto trading platform LMAX Group is working with Morgan Stanley (MS) and KBW, part of Stifel, to evaluate a sale or public listing that could value the business at up to $5 billion, according to three people familiar with the matter.
The discussions are private, the people said, speaking on condition of anonymity. A Nasdaq listing is the preferred route among options that include a sale, SPAC merger, or IPOs in the U.S. or Europe, one person said. The company is in no rush to go public while crypto markets remain weak, and its core foreign-exchange business provides insulation from the downturn, another person said.
A company spokesperson said LMAX declines to comment on speculation. Morgan Stanley declined to comment. Stifel didn’t respond to a request for comment by publication time.
LMAX, based in London, operates institutional trading venues for foreign exchange and digital assets. It provides execution and liquidity, with venues that also offer market infrastructure for banks, brokers, hedge funds and asset managers. The firm is regulated by the U.K.’s Financial Conduct Authority and is known for its agency execution model and transparent order books.
Morgan Stanley, which AlphaScala rates at 62 (Moderate), is one of the advisors. The bank’s role signals the deal’s institutional nature.
Deal activity across crypto has accelerated this year. Kraken parent Payward agreed to acquire derivatives platform Bitnomial. Bullish, owner of CoinDesk, announced a $4.2 billion purchase of Equiniti to expand into tokenization and transfer agency services. Industry analysts expect further consolidation as firms compete to build institutional-grade custody, settlement, tokenization and stablecoin infrastructure.
In July 2021, J.C. Flowers, a private equity firm focused on financial services, acquired a 30% stake in LMAX for $300 million, valuing the group at about $1 billion. The investment was designed to support expansion across institutional FX and crypto markets.
LMAX has expanded over the past year. In February, it launched a 24/7 multi-asset exchange allowing institutions to trade tokenized and traditional assets around the clock. The platform supports foreign exchange, digital assets, commodities and tokenized securities. That move followed a $150 million strategic investment from Ripple in January, intended to help expand institutional adoption of Ripple’s RLUSD stablecoin through LMAX’s trading and settlement network.
The company has benefited from rising institutional participation in crypto markets after the approval of spot bitcoin exchange-traded funds in the U.S. and renewed interest from banks and asset managers seeking digital asset exposure.
The company has no immediate timeline for a decision, one person said.
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