The Texas Stock Exchange has raised more than $60 million in new funding ahead of its planned launch early next year.
News of the latest round comes shortly after the exchange received federal approval from the U.S. Securities and Exchange Commission (SEC) on September 30. According to an October 6 SEC filing, TXSE Group Inc., the Dallas-based parent company of the exchange, raised $63.4 million in equity from 62 investors.
The TXSE disclosed that it is targeting an $85 million raise with the recent offering. So far, the company has raised nearly $225 million in capital, following its previous raise of $161 million from investors such as Charles Schwab Corp., Citadel Securities, BlackRock, and Fortress Investment Group.
James Lee, founder and CEO of TXSE Group, said the exchange is “the most well-capitalized national securities exchange applicant to ever file a registration with the SEC,” according to the Dallas Business Journal.
The Texas Stock Exchange, headquartered in Dallas, aims to challenge the dominance of the New York Stock Exchange and Nasdaq by offering what Lee calls a more transparent and CEO-friendly model for companies looking to go public. Executives have cited the shrinking number of U.S. public companies and rising regulatory costs as key reasons for launching a new exchange.
“Today’s approval marks a pivotal moment in our effort to build a world-class exchange rooted in alignment, transparency, and partnership with issuers and investors,” Lee said in a press release last month. “Real competition for corporate listings in the United States has finally arrived.”
Dallas-Fort Worth now ranks second only to New York City for financial-sector jobs, earning the nickname “Y’all Street.” The latest funding provides investors who missed the first round another opportunity to participate in what TXSE executives describe as a “Texas-rooted alternative” to Wall Street.
TXSE remains on track to launch trading, exchange-traded products, and corporate listings in 2026.