Ipreo signed an agreement with CUSIP Global Services under which its new-issuance systems will serve as a global, cross-asset class point of origination for CUSIP and International Securities Identification Number requests on primary new-issue transactions.
Within two to three months Ipreo will serve as point of origination for CUSIP requests, simplifying new-issue transactions for all participants, the companies said Tuesday.
"This will allow for one seamless work flow, that will make the process much better and less error prone," Bill Sherman, executive vice president and managing director of global data strategy at Ipreo, said in an interview. "This will be beneficial and save a lot of time for investment managers, banks and anyone involved in the new-issue process."
Under the agreement, originators will be able to submit CUSIP and ISIN requests directly from Ipreo's global cross asset class bookbuilding systems. Once created, the identifier will be automatically populated back into the system, allowing for the identifiers to be distributed in the most timely and seamless manner to both sell-side and buy-side participants involved in the new issue offering.
"Ipreo and CGS have a relationship dating back 20 years, having already provided this type of direct connectivity to the municipal market," said Matt Bastian, director of product, market and business development at CGS. "The new agreement will enable similar integrated CUSIP functionality for the equity and fixed income market globally. We are just building on an already successful relationship."
The integration will benefit both sell-side and buy-side participants and there will be no additional fees, as this new integration is purely beneficial to market participants, the companies said.
"Timely access to industry-recognized identifiers is an essential component of every new-issue transaction," Sherman said. "The CUSIP integration is in line with our ongoing commitment to provide solutions that better connect market participants and streamline the capital-raising process."
