Direct Markets, Inc., a subsidiary of Rodman & Renshaw Capital Group, Inc. (NASDAQ: RODM) and the owner and operator of the DirectMarkets platform, an automated state-of-the-art electronic transaction platform that will directly link existing public companies and investors seeking to transact primary offerings of securities, and BIDS Trading, L.P., the operator of the BIDS ATS (alternative trading system) designed to increase competition and liquidity in the U.S. equity block trading market, announced the signing of a subscriber agreement by DirectMarkets’ broker-dealer affiliate, Rodman & Renshaw, LLC, that allows DirectMarkets to provide its customers with direct and anonymous access to the block liquidity in the BIDS ATS. Securities transaction services on the DirectMarkets platform will be provided through DirectMarkets’ broker-dealer affiliate, Rodman & Renshaw, LLC.
“We are pleased that our broker-dealer affiliate, Rodman & Renshaw, LLC, has become a sponsoring broker with BIDS Trading, which will give DirectMarkets’ clients access to an additional source of reliable liquidity in the markets,” said Kevin Lupowitz, CEO of DirectMarkets. “This value-added service, combined with the robust transaction platform that we developed, demonstrates our continued commitment to best servicing our clients’ needs.”
With its many features, the DirectMarkets platform will empower issuers to sell shares (covered by a shelf registration) directly into the secondary market and to complete funding transactions at a fraction of the current cost. Using the same platform, investors will be able to directly contact issuers with effective shelf registrations in place to buy that issuer’s stock, effectively gaining the ability to accumulate stock positions in a more cost-effective manner than through ongoing open market purchases. Both investors and issuers will benefit from 24/7 seamless access to the DirectMarkets platform through a graphical user interface (GUI) accessible via a desktop or laptop computer, as well as mobile smart devices such as tablets or smartphones.