A spokesperson for Citadel Securities announced on Tuesday that a group supported by BlackRock and Citadel Securities is preparing to establish a new national stock exchange in Texas.
According to CEO James Lee, the Texas Stock Exchange, which has already secured approximately $120 million in funding, is expected to submit registration documents to the Securities and Exchange Commission (SEC) later this year, as reported by The Wall Street Journal.
BlackRock has yet to respond to a request for comment from Reuters.
The TXSE, as it is commonly referred to, intends to compete for both primary and dual listings and is targeting a launch date in 2025, with the first listing set to take place in 2026.
The stock exchange aims to attract listings of exchange-traded products and hopes to challenge the rising compliance costs associated with Nasdaq and NYSE. It also seeks to address newer regulations, such as the Nasdaq rule that sets targets for board diversity.