– Tullett Prebon expands coverage into Sub-Saharan Africa
– Partnership provides access to the Nigerian capital markets
Tullett Prebon Partners With Parthian in Nigeria
Tullett Prebon, one of the world’s largest interdealer brokers, has established a joint venture with Parthian Partners, a Nigerian-based interdealer broker, as part of its continued expansion throughout the African continent. Tullett Prebon’s clients gain a route into the growing Nigerian market with exclusive access to Parthian Partners’ client base of domestic banks and discount houses. In return, Parthian Partners’ domestic clients will benefit from Tullett Prebon’s global brokerage services and connections into the global investment community. The partnership will enhance liquidity in Naira-denominated bonds and bills for the clients of both Tullett Prebon and Parthian Partners.
Rob Osborne
Regulatory Background: FMDQ Requirements
In May 2014, FMDQ, the regulator of the Nigerian OTC market, agreed with its Dealing Members that they should only execute trades brokered by an individual or corporate body that is registered with the Securities and Exchange Commission (SEC) and licenced by FMDQ. This is in relation to products traded on the FMDQ platform. Parthian Partners is one of two licensed interdealer brokers in the Nigerian market and the only interdealer broker with a physical domestic presence.
Strategic Importance of the Nigerian Market
Rob Osborne, Managing Director of Rates EMEA, Tullett Prebon, said: “Nigeria is now Africa’s largest economy, so this is a crucial deal for us and is central to our growth plans for Sub-Saharan Africa. Nigerian capital markets are undergoing a major transformation and FMDQ’s new rulings are an important step towards an improved regulatory framework, as we are seeing throughout global capital markets, and enabling further access to global investment capital. We look forward to working closely with Parthian Partners and FMDQ to help further develop the Nigerian capital markets, which are on track to become the blueprint for other African sovereign nations.”
Oluseye Olusoga, Managing Partner, Parthian Partners, said: “Penetration of the international market is highly prized by our clients. By partnering with Tullett Prebon, a globally recognised interdealer broker, we have opened up a worldwide distribution network to our clients. Parthian Partners aims to deliver a world-class service to all its clients and this joint venture will enable us to provide an unparalleled service locally.”
FMDQ’s Perspective on the Joint Venture
FMDQ’s Head of Regulation, Ms. Kaodi Ugoji, said: “The news of the joint venture between Parthian Partners and Tullett Prebon is a welcome event as it provides FMDQ Dealing Members with access to a broader distribution network while positioning the now regulated Nigerian OTC market for impressive growth.”
Expanding Tullett Prebon’s African Presence
This joint venture creates Tullett Prebon’s second connection on the African continent following the opening of its operations in Johannesburg, South Africa last year. Tullett Prebon has offices in 23 global locations including London, New York, Dubai, Hong Kong, Singapore and Tokyo.
