What next after the cryptocurrency euphoria slump?
3 February 2023
23 February 2023
Stock exchange operator Euronext has confirmed the submission of an indicative takeover bid for Allfunds, estimated to be worth €5.5 billion. Allfunds' shareholders include private equity firm Hellman & Friedman (H&F) and BNP Paribas, which together own 46.4% of the company. According to Allfunds, Euronext has approached both firms to support the transaction.
Allfunds facilitates connections between investment funds and investors, charging buyers for access to the platform and sellers (including exchange-traded and mutual funds) for listing their products. The company manages more than €1.2 trillion in assets and works with nearly 3,000 fund groups. Allfunds reportedly received acquisition interest from Deutsche Borse in 2020, but no substantial bids have emerged since. In October 2022, Credit Suisse sold its 8.6% stake in Allfunds for €334 million.
Euronext is the largest stock exchange group in Europe and one of the largest in the world. It was formed in 2000 by the merger of the Amsterdam, Paris and Brussels stock exchanges. The company is headquartered in Amsterdam and has major offices in Brussels, London, Lisbon, Dublin, Oslo, Milan and Paris. As of 2021, there are nearly 2,000 issuers listed on Euronext with a total market capitalisation in excess of €6.9 trillion.
In recent months, the group has made a number of acquisitions, buying Madrid-based digital solutions provider Web Financial Group in April 2022, London-based data company instiHub Analytics in the same month and London-based platform ESG Mainstreet Partners in June. Following the announcement of the offer on Wednesday afternoon, Allfunds shares rose as much as 29% to €9.45, while Euronext shares fell 6%.