NEW YORK, June 4 /PRNewswire/ --

Liquidnet today announced BATS Trading Inc. (BATS) has become its 22nd Streaming Liquidity Partner (SLP). This liquidity alliance enables Liquidnet's nearly 500 Member firms, via Liquidnet H2O(TM), unique access to approximately 700 million additional shares of liquidity per day(1). BATS has integrated the ability to cross with Liquidnet H2O via its new Dark Scan order type and joins Liquidnet H2O's growing list of Streaming Liquidity Partners (SLPs) who include some of the industry's leading brokerages, exchanges and ECNs.

"Through our Supernatural(TM) strategies, our Members are able to cross with approximately three billion(2) shares in Liquidnet H2O(TM), and 2.5 billion shares in our natural pool resulting in industry-leading crossing rates(3)," said Seth Merrin, Liquidnet CEO. "The combination of Liquidnet Natural -- Liquidnet's natural negotiation ATS, and Liquidnet H2O(TM), which now includes broker, exchange and ECN flow, expands the breadth and depth of the global institutional marketplace. In fact, bringing retail investors into the institutional marketplace is a huge step forward in helping to fix the market structure and provide better executions for both institutional and retail investors. BATS Trading is a valuable partner in Liquidnet's institutional marketplace which provides a safer, more efficient environment for institutions to execute their trades."

"Liquidnet's Membership represents some of the biggest institutions in the world and we are glad to add them to our Dark Liquidity Partner program," said BATS Chief Executive Joe Ratterman. "Our ability to interact with Liquidnet H2O(TM) and other Dark Liquidity Partners helps to ensure that our customers' orders are filled efficiently. As we approach Exchange status in the U.S., we look forward to growing in this and other areas."

About Liquidnet H2O

Launched in September 2005, Liquidnet H2O brings together the collective equity volume of a growing list of twenty two third-party liquidity sources to execute against institutional-sized order flow. Liquidnet H2O executions occur at the mid-point of the National Best Bid and Offer (NBBO), thereby eliminating pricing pressure in the marketplace. The result is price improvement and reduced market impact costs delivered to all participants. SLP orders that interact with Liquidnet H2O are marketable agency orders that are electronically routed by a smart router, with no direction or knowledge from human sales traders.

Liquidnet's buy-side Member firms are able to participate in both the H2O liquidity pool and Liquidnet's traditional negotiation trading venue providing access to 29 global equity markets. Combined, both pools average about 5.4 billion shares of liquidity (as of 03/31/08).

About Liquidnet

Liquidnet is an electronic marketplace that facilitates institutional equities trading for asset management firms worldwide. By accessing liquidity from multiple liquidity sources -- including a natural liquidity pool of more than seven billion shares globally -- Liquidnet's unique trading model consolidates and delivers the institutional equities market directly to the desktops of approximately 500 buy-side trading firms. This greatly reduces the impact of market fragmentation, minimizes opportunity costs and delivers substantial market impact savings that are then passed on to individual investors. Launched in 2001, Liquidnet now trades in 29 equity markets across five continents (as of 03/31/08). Liquidnet is headquartered in New York with offices in London, Toronto, Tokyo, Hong Kong and Sydney. Additional company information is available online at www.liquidnet.com.

About BATS Trading

BATS Trading, based in Kansas City, Mo., with additional offices in New York and London, was launched in January 2006 and operates one of the fastest-growing, top-tier equity markets in the United States with plans for a Europe launch in 2008. The BATS platform is developed by a core team of market and technology professionals, catering to the needs of the broker-dealer community. Included in the BATS customer base are more than 270 broker-dealers and a broad-based ownership group including affiliates of Citi, Credit Suisse, Deutsche Bank, GETCO, JPMorgan, Lehman Brothers, Lime Brokerage, Morgan Stanley, Merrill Lynch, Tradebot and Wedbush. BATS ... Making Markets Better.

(C) 2008 Liquidnet Holdings, Inc. and its subsidiaries. Liquidnet, Inc. is a member of FINRA/SIPC. Liquidnet Europe Limited is regulated by the UK Financial Services Authority and is a member of the London Stock Exchange. Liquidnet Canada Inc. is a member of IDA/CIPF. Liquidnet Asia Limited is regulated by the Hong Kong Securities and Futures Commission as a licensed dealer and a provider of automated trading services pursuant to the Securities and Futures Ordinance and is regulated by the Monetary Authority of Singapore as a Recognised Market Operator. Liquidnet Japan Inc. is regulated by the Financial Services Agency of Japan and is a member of JSDA/JIPF. Liquidnet Australia Pty Ltd is a licensed corporation under the Corporations Act of Australia, AFSL number 312525.

(1) As of March 31, 2008. Source: https://www.batstrading.com/data/ (2) Orders, in shares, available to interact in Liquidnet H2O to be executed automatically at the mid-point. Share number for the quarter ended March 31, 2008 was more than 2.9 Billion shares. (3) Crossing rate is defined as the percent of shares executed within Liquidnet (internal) versus the total number of shares executed by Liquidnet (internal and external). The crossing rate for all three Supernatural(TM) strategies (Liquidnet Only, Adaptive and Aggressive) is 63 percent. This compared to an average 4-11 percent crossing rate in the industry according to Aite Group's September 2007 report "Rise of Dark Pools and Rebirth of ECNs: Death to Exchanges?" Web site: http://www.liquidnet.com https://www.batstrading.com/data

Jim Gorman of Liquidnet Corporate Communications, +1-646-674-2145, jgorman@liquidnet.com