Cboe Global Markets has entered into an agreement to acquire European equities clearing house EuroCCP.
As part of the partnership, both companies aim to further expand the benefits of EuroCCP’s open-access model serving other exchanges and trading venues.
Cboe said it sees an opportunity to further grow this business by capitalising on the strength of its pan-European network.
Headquartered in Amsterdam and regulated by De Nederlandsche Bank and by Autoriteit Financiële Markten, EuroCCP clears on average between four to five million trade sides daily, totalling €30 to €40 billion in value.
The CCP is equally owned by Cboe Europe, Euronext, Nasdaq, ABN AMRO Clearing Bank and The Depository Trust & Clearing Corporation.
The transaction, which Cboe plans to fund with cash on hand, is expected to close in H1 2020.
Ed Tilly, chairman, president and CEO of Cboe Global Markets said: “We believe ownership
of EuroCCP will enhance our current European equities business, while providing opportunities to potentially diversify our business, including trading and clearing derivatives, in the future. We look forward to officially welcoming the EuroCCP team to Cboe Global Markets.”
Cécile Nagel, CEO of EuroCCP, added: “Cboe is a staunch advocate of open access and interoperability, values which EuroCCP has long promoted, with an established track record of servicing clients globally and providing innovative products across numerous asset classes. We believe this transaction positions EuroCCP for continued success and we look forward to becoming part of the Cboe Group.”
