Finance
Citadel and BlackRock back project to start a national exchange in Texas
The Texas flag is seen before the game between the Houston Cougars and the Texas Longhorns at TDECU Stadium on October 21, 2023 in Houston.
Tim Warner | Getty Images Sports | Getty Images
Black rock and Citadel Securities are among investors backing a group that wants to start a new national stock exchange in Texas.
TXSE Chairman and CEO James Lee said the Dallas-headquartered group has done just that Raised $120 million with the support of more than twenty investors.
“Texas’ booming economy and strong economic and population growth among states in the U.S. Southeast Quadrant provide incredible opportunities for businesses – and ultimately for the Texas Stock Exchange,” TXSE CEO James Lee said this on LinkedIn.
The Wall Street Journal previously reported on this venture, saying the exchange is billing itself as a “more CEO-friendly” alternative to the New York Stock Exchange and Nasdaq, in light of increasing regulation and a “dissatisfaction with rising compliance costs.”
A controversial Nasdaq rule requires publicly traded companies to disclose diversity information on their boards of directors. The SEC approved the plan in 2021, but now faces a new challenge in a federal appeals court.
TXSE’s website states that it will be a “fully electronic, national securities exchange that will apply for registration with the U.S. Securities and Exchange Commission.” According to the Journal’s report, the TXSE aims to begin trading in 2025 and host listings in 2026.
The Dallas Morning News reported that TXSE will target companies in the “southeastern quadrant of the USIn an interview with the newspaper, Lee thanked Texas Governor Greg Abbott for his support and leadership.
