History
2020: Euronext buys the Milan exchange for €4.3 billion
On October 9, 2020 Euronext announced purchase of Milan stock exchange (Borsa Italiana) from LSE Group. Transaction amount is about €4.3 billion.
LSE reported that last month it entered negotiations with Pan-European stock exchange Euronext on sale of the Borsa Italiana group. The company announced belonging to it the stocks London Stock Exchange Group Holdings Italia S.p.A (LSEG Italia), Borsa Italiana parent company sale of Euronext of all. LSEG will also receive the additional amount after closing of the transaction depending on revenues of the Italian company.
It is said in the statement of LSEG that the bargain will be concluded provided that sale of Milan stock exchange will be a condition for approval by the European Commission of the transaction on acquisition of LSEG of the supplier of financial information of Refinitiv for $27 billion.
LSEG announced purchase of Refinitiv in August, 2019. Under the terms of the transaction the company receives shares of Refinitiv for the amount of $14.5 billion and also undertakes a debt of the company which size is $12.5 billion, in general the amount reaches $27 billion.
In June, 2020 the European Commission organized the profound analysis of the transaction of LSEG and Refinitiv. The European Commission is afraid that the company merger will lead to reduction of the competition in the field of trade in different financial instruments and clearing and also in a segment of financial information.
It is supposed that LSEG will close the transaction on sale of the Milan exchange in the first half of the year 2021, and the transaction with Refinitiv company - until the end of 2020 or at the beginning of 2021.
According to the statement of Euronext, Borsa Italiana will play a key role in transactions, strategy and a management structure of the created enterprise. Besides, the largest part of revenue of the created group will fall to the share of Borsa Italiana.
The CEO of Borsa Italiana noted:
 | We look forward to the beginning of the next stage of our history, working in partnership with Euronext, CDP Equity and Intesa Sanpaolo for further development of our business and contributing to development of the European capital markets.[1] |  |
Notes
| The site content is translated by machine translation software powered by PROMT. The machine-translated articles are not always perfect and may contain errors in vocabulary, syntax or grammar. Read original article If you find inaccuracies or errors in the results of machine translation, please write to editor@tadviser.ru. We will make every effort to correct them as soon as possible. |