MEMX and BOX combine into US$2.3bn MEMX Group
31 July 2026 US, Canada
Image: Looker_Studio/stock.adobe.com
MEMX, an exchange operator and market technology provider, has announced a definitive agreement for TMX Group, a global provider of data, listing services, trading markets, and clearing facilities, to make a strategic investment in MEMX.
BOX, a US equity options market, will be combined with MEMX, concurrent with this transaction, and TMX Group will have an approximately 59 percent ownership interest in the combined business.
Under the terms of the agreement, this transaction will create a consolidated US exchange group with an enterprise value of approximately US$2.3 billion.
The new entity will be funded by an equity investment from TMX Group of approximately US$800 million, a rollover of TMX's existing equity interest in BOX, committed rollovers from a group of MEMX and BOX investors, comprised of key market participants, and an investment from a new financial partner.
TMX Group and minority equity holders are to be granted call and put rights respectively, starting three years post close.
The newly combined company will hold three exchange medallions and operate three US listed options exchanges, an equities exchange, as well as a technology business providing market technology and operational support to other market centers.
The proposed combination will enhance MEMX's capabilities and scale by bringing together the two providers in the US listed options market while delivering liquidity for MEMX's equity holders through the investment by TMX Group
The transaction expected to close in the second half of 2027, will be supported by an equity investment from Markets Infrastructure Partners; ongoing strategic investments from: Chicago Trading Company, IMC, Jane Street, Morgan Stanley, Optiver, Schwab, Virtu Financial, Interactive Brokers; as well as Citadel Securities, and Wolverine.
Jonathan Kellner, CEO of MEMX, who will lead the newly combined company, says: "Bringing BOX's unique electronic and open outcry trading functionality to MEMX's price time and pro-rata exchanges provides enhanced customer functionality and the ability to compete across all of the US options exchange models.
“Further, this strategic transaction allows us to continue to grow and diversify by developing new products and services with greater scale across our organisation. We are pleased to welcome TMX Group's representatives to MEMX's board of directors."
John McKenzie, CEO of TMX Group, adds: "Today we are pleased to announce a significant increase in our stake with the investment in MEMX. This new combination brings together the complementary strengths of two innovative and competitive US venues to advance the development of new solutions across both options and equities, and creates a more formidable exchange group, well-positioned to capitalise on expansion opportunities.”
BOX, a US equity options market, will be combined with MEMX, concurrent with this transaction, and TMX Group will have an approximately 59 percent ownership interest in the combined business.
Under the terms of the agreement, this transaction will create a consolidated US exchange group with an enterprise value of approximately US$2.3 billion.
The new entity will be funded by an equity investment from TMX Group of approximately US$800 million, a rollover of TMX's existing equity interest in BOX, committed rollovers from a group of MEMX and BOX investors, comprised of key market participants, and an investment from a new financial partner.
TMX Group and minority equity holders are to be granted call and put rights respectively, starting three years post close.
The newly combined company will hold three exchange medallions and operate three US listed options exchanges, an equities exchange, as well as a technology business providing market technology and operational support to other market centers.
The proposed combination will enhance MEMX's capabilities and scale by bringing together the two providers in the US listed options market while delivering liquidity for MEMX's equity holders through the investment by TMX Group
The transaction expected to close in the second half of 2027, will be supported by an equity investment from Markets Infrastructure Partners; ongoing strategic investments from: Chicago Trading Company, IMC, Jane Street, Morgan Stanley, Optiver, Schwab, Virtu Financial, Interactive Brokers; as well as Citadel Securities, and Wolverine.
Jonathan Kellner, CEO of MEMX, who will lead the newly combined company, says: "Bringing BOX's unique electronic and open outcry trading functionality to MEMX's price time and pro-rata exchanges provides enhanced customer functionality and the ability to compete across all of the US options exchange models.
“Further, this strategic transaction allows us to continue to grow and diversify by developing new products and services with greater scale across our organisation. We are pleased to welcome TMX Group's representatives to MEMX's board of directors."
John McKenzie, CEO of TMX Group, adds: "Today we are pleased to announce a significant increase in our stake with the investment in MEMX. This new combination brings together the complementary strengths of two innovative and competitive US venues to advance the development of new solutions across both options and equities, and creates a more formidable exchange group, well-positioned to capitalise on expansion opportunities.”
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