Nivaura acts as partner to LSEG in growth of its digital platform Flow

By Leandra Monteiro

FinTech Nivaura has acted as the LSEG’s partner in the development of the exchange group’s new digital primary DCM Flow platform. Having tested the validity and efficiency of the platform with its use in a $7 billion syndicated issuance by the LSEG under a global MTN programme. The LSEG priced a syndicated multi-tranche and multi-currency offering raising circa $7bn equivalent across nine tranches.

This is the first time that Flow has been used to conduct key transaction steps by deal parties in the issuance process. Flow drives end-to-end automation in primary debt markets and was developed in partnership with Nivaura. Flow is designed to automate the debt capital markets issuance process using structured data and General Purpose Legal Mark-Up Language (GLML).

The LSEG issuance is the most complex transaction to use a primary DCM digitisation platform. The bonds were listed on the Main Market of The London Stock Exchange, and settled in DTC, Euroclear and Clearstream. This issuance marks an important milestone in capital markets automation and digitisation, and demonstrates the potential of such platforms to improve current capital market workflows.

Developed by Nivaura, GLML is now governed by the GLML Foundation, an independent body that is constituted by key capital market participants.  This market ownership underpins the vision for GLML as an open-source, universal data standard which all market participants and technology providers can use, making digital and workflow platforms interoperable.

Dr. Avtar Singh Sehra, Founder and Chief Executive Officer of Nivaura shared, “It has been an honour for Nivaura to work closely with the LSEG, and Allen & Overy, in bringing the LSEG Flow platform to market and supporting its launch with LSEG’s debut multi-currency and multi-tranche transaction. This is the start of a new digitisation and automation paradigm in the primary capital markets, where the LSEG Flow platform delivers proven technology to drive efficiency and effectiveness for all market participants.

“For Nivaura, our work here illustrates the flexible ways in which our expertise and solutions can be deployed with partners.  We foresee a range of different approaches to primary markets efficiency being pursued, and we’ll act in line with our vision to fully digitise and automate primary markets.”

“Cutting complexity, time and cost out of primary capital markets by digitising, automating and optimising workflows is now a matter of urgency.  GLML will play a crucial role in ensuring different new platforms can be interoperable, ensuring the market benefits fully from digitisation and automation.”