A new national stock exchange, the Texas Stock Exchange (TXSE), is set to launch in Dallas, backed by major investors including BlackRock (NYSE: BLK) and Citadel Securities. 

The exchange has raised approximately $120 million and plans to file registration documents with the Securities and Exchange Commission later this year to operate as a national securities exchange.

TXSE aims to attract listings of exchange-traded products and challenge increasing compliance costs at established exchanges like the Nasdaq and the NYSE. The exchange also seeks to offer an alternative to newer rules, such as Nasdaq’s board diversity targets. 

“Texas’s booming economy and the strong economic and population growth among states in the southeast quadrant of the U.S. present incredible opportunities for businesses — and ultimately the Texas Stock Exchange,” James Lee, the new exchange’s chairman and CEO, said on LinkedIn on Tuesday.

TXSE is targeting companies in “the southeastern quadrant of the US,” and has received support from Texas Governor Greg Abbott. The fully electronic exchange is aiming to start trading in 2025 and host listings in 2026, positioning itself as a more CEO-friendly alternative to existing exchanges.

Information for this story was found via the Wall Street Journal, Reuters, and the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.