With the acquisition, Atlanta-based ValuBond expands its bond lineup to include:
- agency bonds
- US Treasuries
- collateralized mortgage obligations (CMOs)
- US Treasury strips
- certificates of deposit.
The company had already offered municipal and corporate debt instruments.
The acquisition gives ValuBond needed inventory and additional growth opportunities while Bond Express gained new technology, officials of both companies said.
Bond Express’ 15,000 bond offerings will now be tradable on ValuBond’s live auction platform.
The all-stock deal also gives Barra a single-digit percentage share of ValuBond, making it a large shareholder, ValuBond Chief Executive John Pigott told Reuters.