Euronext, the pan-European exchange, has announced that it has entered into a binding agreement to sell its 20% minority stake in EuroCCP to Cboe Global Markets, alongside the other current EuroCCP shareholders.
The exchange informed that it will continue to leverage its long term derivatives clearing agreement with, and its 11.1% equity stake in, LCH SA, and develop its two fully-owned CSDs in Norway and Portugal, as the foundation for further growth in Post Trade.
The transaction is expected to close in H1 2020, subject to receipt of required regulatory clearances and the arrangement of a supporting liquidity facility at the EuroCCP clearing entity level.
Euronext expects to receive net proceeds of approximately €9 million from the sale of its minority stake. As a result of this agreement, the exchange will impair the value of its participation by approximately €6 million in Q4 2019.