London Stock Exchange Confirms First Transaction on Pisces Private Market Framework
The London Stock Exchange has announced a landmark development in UK capital markets, confirming that shares in Oxford Science Enterprises will be the first to trade using its newly approved Pisces framework. This transaction represents the inaugural use of the Private Intermittent Securities and Capital Exchange System, a novel market designed to allow private companies to periodically trade shares in a manner resembling public stock exchanges.
Oxford Science Enterprises Leads the Way
The £1.3 billion venture capital firm, renowned for backing technology spin-outs from Oxford University including quantum computing pioneer Oxford Ionics, will have its shares traded through an innovative investment vehicle. Rather than listing directly on the London Stock Exchange's Private Securities Market, Oxford Science Enterprises' shares will be held within a TPEIC structure specifically created to facilitate private share trading.
This pioneering transaction is scheduled to occur through an auction process in the coming weeks, potentially before the end of March according to market sources. The exact number of shares to be released through this mechanism remains undisclosed, but the auction is expected to provide thousands of professional investors with unprecedented access to one of Britain's most dynamic venture capital funds.
Innovative Structure and Market Implications
The TPEIC vehicle will be owned by Tradable Private Equity, a relatively unknown capital markets startup established to enhance liquidity in private assets. TPE founder Fred Bouverat emphasized the significance of this development, stating: "Private markets have expanded significantly over the past two decades, but liquidity mechanisms have not evolved at the same pace."
Bouverat further explained that this structure offers professional investors exposure to innovation emerging from one of the world's leading research universities while eliminating the complexities typically associated with venture capital fund listings. This approach represents a departure from initial expectations that the Pisces framework would primarily host fast-growing companies directly.
Market Expectations and Reality
Initial speculation had centered around prominent British scale-ups potentially utilizing the new exchange, with fintech company Iwoca reportedly expressing interest and numerous firms including Revolut, Octopus, and Oaknorth attending informational events last year. However, Octopus chief executive Greg Jackson has since clarified that his utilities giant has "no plans" to use the exchange.
London Stock Exchange officials now anticipate that their Private Securities Market will serve a diverse mix of companies alongside TPEIC-like structures similar to the Oxford Science Enterprises vehicle. This development may disappoint some proponents who had hoped the innovation would revitalize Britain's sluggish initial public offering pipeline, which successive Chancellors and Treasury ministers have identified as crucial for encouraging more London listings.
Regulatory Milestone and Future Outlook
The London Stock Exchange achieved regulatory approval as the first authorized Pisces operator in August, positioning itself at the forefront of private market innovation. Julia Hoggett, chief executive of the London Stock Exchange, expressed enthusiasm about this milestone: "We are delighted that the first transaction will take place on our Private Securities Market in the coming weeks. This is a clear example of how companies, and structures such as TPEIC, can use our new market and the PISCES framework in innovative ways to access the solutions that best suit their needs."
Oxford Science Enterprises represents an ideal inaugural participant for this new framework, having established itself since 2015 as one of the UK's largest and most active venture capital funds. The firm specializes in early-stage investments across frontier technologies including artificial intelligence, life sciences, and quantum computing, having supported dozens of companies emerging from Oxford University. The fund recently executed a significant exit from quantum computing unicorn Oxford Ionics, which was acquired by US competitor Ionq for over £1 billion.
While the proliferation of TPEIC structures may not directly accelerate traditional public listings for the underlying companies, this development represents a significant evolution in how private capital can achieve liquidity through regulated market mechanisms. The London Stock Exchange's Pisces framework now enters its operational phase with this high-profile transaction, potentially establishing new pathways for private company investment and liquidity in the UK financial ecosystem.
