“We’re excited to make the move,” Texas Capital chairman, president and CEO Rob Holmes said of the bank’s switch to the Texas Stock Exchange from Nasdaq.
Juan Figueroa/Staff Photographer
Texas Capital Bancshare Inc. will move its primary stock listing from Nasdaq to the Texas Stock Exchange, cementing its status as a Y’all Street pioneer.
Energy Transfer LP and its suite of related companies were the first to announce such a move (theirs from the New York Stock Exchange), but chairman Kelcy Warren also owns about a 30% stake in TXSE Group, the exchange’s parent organization. Texas Capital is, in a sense, the first independent entity and first corporation to put its full faith in Dallas’ challenge to New York.
“We do not see any risk in being in the front of the number of companies moving to TXSE,” Texas Capital chairman, president and CEO Rob Holmes said. “They’ve been trading 13,000-plus symbols since midsummer. The technology works; it’s been working for a long time, the people that put their technology in place have worked at the largest exchanges. We did our diligence on their cybersecurity as well, and we’re excited to make the move.”
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The Dallas-based bank’s common and preferred stock is expected to begin trading on TXSE on Oct. 8 under their current ticker symbols, TCBI and TCBI PRB, and then on Nov. 9, they will change to TXCP and TXCP PRB.
Since completing a strategic transformation last year, Texas Capital touts itself as the first full-service financial institution headquartered in Texas, a native Y’all Street counterpart to the big banks like Goldman Sachs increasing their footprint here. Similarly, TXSE, announced in 2024, may be feeling territorial as longtime New York capital markets duopoly NYSE and Nasdaq create their own Lone Star State venues.
The parallels go even further, as Texas Capital and TXSE will be neighbors in the area of Dallas surrounding Klyde Warren Park that is becoming the nexus of Y’all Street. TXSE and the building’s namesake will move into Bank of America Tower at Parkside upon completion, steps from Texas Capital’s headquarters, JPMorgan Chase’s downtown office, the Federal Reserve Bank of Dallas and more. Both Texas Capital and TXSE are planning to add electronic stock tickers to their buildings to boot.
“Texas Capital is the first home-grown, full-service financial services firm in the state of Texas, and we are proud to welcome their primary corporate listing home to the Texas Stock Exchange,” said TXSE chairman and CEO James Lee in a release. “Texas Capital has been a leader in developing capital markets in the Lone Star State, so it is fitting that they will be listed on the only national securities exchange built, headquartered, and incorporated in Texas.”
The Texas Stock Exchange and Texas Capital, who will both be headquartered in Uptown upon TXSE’s move into Bank of America Tower at Parkside, are both planning on adding electronic stock tickers to their buildings.
File photos
TXSE’s technology platform began a phased launch of trading in July and celebrated the completed roll out of all U.S. symbols on July 31. Soon after, Texas Capital announced it would move the listings of two of its exchange-traded funds, which will become TXSE’s first primary listings ever when they begin trading on the exchange on Wednesday. Holmes said those ETFs, which each track the Texas economy, belonged on TXSE “no matter what,” but the listing for the entire firm was a different conversation.
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Holmes explained he considers one concern folks may have with listing on a new stock exchange — liquidity — to be a misconception. Issuers provide the liquidity by attracting investors, he said, noting that any given issuer’s stock is only being traded on its primary exchange a small percentage of the time. For example, more than 50% of U.S. trading happens outside national exchanges entirely.
The move to TXSE comes with full board support, Holmes said, and provides several advantages. One is a net cash benefit through a shared listing construct. He also said he thinks the state-of-the-art trade matching engine will improve the opening and closing auctions on Texas Capital’s stock. Another plus is the backing TXSE has, like Warren, who Holmes called a “true innovator,” alongside Citadel Securities, Charles Schwab and others, who have backed the exchange to the tune of $275 million and provide it credibility.
“It’s my responsibility to always look at every option for this firm on behalf of the shareholders, and so we’re we’re perpetually looking at new products, services, technology, markets, and this is just one more,” Holmes said. “We’ve been following it ever since they announced they were going to create TXSE, and once it came to fruition, we studied it.”