LMAX Group has enlisted Morgan Stanley and KBW to evaluate strategic options that could value the institutional trading company at up to $5 billion. According to people familiar with the matter, the London-based firm is considering a direct sale, a SPAC merger, or an initial public offering, with a Nasdaq listing currently the preferred path.
The valuation would mark a fivefold increase from July 2021, when private equity firm J.C. Flowers purchased a 30% stake for $300 million, valuing LMAX at roughly $1 billion. Since then, LMAX has significantly broadened its institutional crypto infrastructure. In February, it launched a 24/7 multi-asset exchange covering foreign exchange, commodities, digital assets, and tokenized securities. It also introduced Kiosk, a portal that combines custody, collateral management, and trading across spot FX, precious metals, crypto, CFDs, and perpetual futures.
Earlier this year, Ripple invested $150 million in LMAX to promote the adoption of the RLUSD stablecoin within LMAX’s trading and settlement network. That partnership could benefit if a public listing or acquisition accelerates the integration of RLUSD into institutional flows.
Despite the ambitious valuation, sources say LMAX is in no rush. Its established foreign exchange business provides steady revenue, insulating the company from weakness in crypto markets. The strategic review comes amid a flurry of crypto M&A, including Kraken’s acquisition of Bitnomial and Bullish’s $4.2 billion deal for Equiniti. Morgan Stanley and KBW will now weigh buyer interest against the timing and pricing of a potential Nasdaq debut.
