Deutsche Börse AG (Deutsche Börse) and Axioma, Inc. (Axioma) announced that Axioma has agreed to be acquired by Deutsche Börse for US$850 million cash and debt free (around US$820 million equity value) and will be combined with Deutsche Börse’s index businesses (STOXX® and DAX®) valued at €2.6 billion.
The combination will create a fully integrated, leading buy-side intelligence player that will provide unique products and analytics to meet the growing demand for an end-to-end platform. Axioma, a global provider of cloud-based portfolio and risk management software solutions, and Deutsche Börse’s index business are highly complementary and together will offer a broad suite of index and analytics products with global coverage. As a result, the combined company is expected to materially grow revenue and EBITDA, and is expected to achieve annualized pre-tax run-rate synergies of around €30 million by the end of 2021.
As part of the transaction, Deutsche Börse has entered into a strategic partnership with General Atlantic, a leading global growth equity investor. General Atlantic will invest around US$715 million into the new company, which will be used to finance the acquisition of Axioma.
Theodor Weimer, CEO of Deutsche Börse, said, “This transaction is a step change for our pre-trading business and fully in line with our Roadmap 2020 strategy, which besides organic growth builds on programmatic M&A and new technologies. We are also excited about the partnership with General Atlantic and believe it will help to further accelerate growth of the combined business and to achieve strong value creation.”
Stephan Leithner, Member of the Executive Board of Deutsche Börse AG, responsible for the Post-Trading, Data & Index business, added, “We are convinced of the highly complementary nature of the combination, which positions us extremely well to benefit from key growth trends. We have a long-standing strategic partnership with Axioma and value its management. We look forward to growing our analytics and index platform together.”
Sebastian Ceria, founder and CEO of Axioma, said, “The union of Axioma, STOXX and DAX under the Deutsche Börse umbrella creates a growth company that is uniquely equipped to help clients capitalize on the critical trends now reshaping the investment-management landscape. The combination of STOXX’s indexing expertise with Axioma’s best-of-breed analytical capabilities in risk management, portfolio construction and performance attribution is expected to result in strong near-term revenue synergies and creation of a platform for future growth.”
Gabriel Caillaux, Managing Director and Head of EMEA for General Atlantic, stated, “We have closely followed the development of Deutsche Börse’s index assets for many years as we witness the global shift to passive products and the rise of indexed investing strategies. We are excited to be partnering with such a renowned firm. We are also highly impressed with Axioma’s track record and believe this combination provides a strong foundation for future growth. After our detailed analysis, we are confident that the combination will generate significant value creation and strong investor returns.”
Anthony Arnold, Managing Director at Goldman Sachs, said, “We have been delighted to support Axioma as both an investor and meaningful customer of their best-in-class solutions and wish the management team continued success as they grow what will be an important and leading focused business with a compelling product suite.” Josh Lewis, Managing Partner of Salmon River Capital, added, “We are proud to have been a significant Axioma shareholder since 2007, and we are pleased with this outcome.”
Founded in 1998, Axioma is a global provider of multi-asset class portfolio and risk management software solutions. The company delivers proprietary solutions and data services offerings to over 400 leading asset managers, asset owners, sell-side participants and hedge funds. Axioma generated approximately US$100 million in annual contract value (“ACV”) revenue in 2018 and has grown ACV at a 23 percent CAGR since 2010. Axioma is currently investing its entire cash flow in further growing the business. The transition to axiomaBlue, Axioma’s cloud-based infrastructure platform, other new product offerings and strategic expansion are expected to drive ACV growth in line with historical experience.
Deutsche Börse’s index business is the #4 global index player (based on last twelve months (LTM) 2018 September revenue) and home of the #1 European tradable index, the EURO STOXX 50® (based on the notional value of traded derivatives contracts in 2018). The index business on a stand-alone basis generated €168 million in gross revenues and €115 million in EBITDA in 2018 and has grown at double-digit rates over the past five years.
Deutsche Börse and Axioma have had an existing partnership since 2011 and have jointly developed innovative products, including factor indices and ETF products. All Deutsche Börse businesses will benefit from direct access to the buy-side and the enhanced analytics platform.
Management anticipated that the combined company will be uniquely equipped to address trends that are reshaping investment management, including the shift to passive, the demand for smart beta and the transition towards index customization using technology. The combination will provide Axioma’s current clients with closer integration to data from a leading family of indices, which are critical components for designing investment strategies. Additionally, Deutsche Börse’s index business clients will benefit from access to Axioma’s powerful analytics that allow for creation and testing of custom indices.
The combined company will be led by current Axioma CEO Sebastian Ceria. He will seek to preserve the strengths of both Axioma and the Index Business and accelerate the entrepreneurial spirit. A number of the Axioma management team, as current owners, will reinvest around US$105 million of their sales proceeds into the combined company alongside General Atlantic. As a result, and depending on the roll-over, Deutsche Börse is expected to own approximately 78 percent of the new company, General Atlantic around 19 percent, and the Axioma management about 3 percent.
The transaction is subject to approval by the relevant competition authorities and further customary conditions and is expected to close in the third quarter 2019.
Perella Weinberg Partners LP and Deutsche Bank AG served as financial advisors to Deutsche Börse. Hengeler Mueller and Cravath, Swaine & Moore LLP served as legal counsel to Deutsche Börse. Centerview Partners LLC and Sullivan & Cromwell LLP served as financial advisor and legal counsel to Axioma. Milbank served as legal counsel to General Atlantic.
Medici Ventures Keiretsu Companies GrainChain and Symbiont Working Together to Expand Global Operations
GrainChain to expand to numerous countries in 2020 using Symbiont’s Assembly™ enterprise blockchain solution
SALT LAKE CITY, March 27, 2020 (GLOBE NEWSWIRE) — Medici Ventures, the wholly owned blockchain accelerator of Overstock.com, Inc. (NASDAQ:OSTK), announces that two of its keiretsu companies, GrainChain and Symbiont, are working together to expand GrainChain’s global operations through the use of Symbiont’s blockchain solution. GrainChain, a blockchain-powered agritech company, is utilizing Symbiont’s Assembly™ enterprise blockchain network to improve platform performance and privacy features. Assembly™ has allowed GrainChain to significantly increase the number of farmers, buyers, and grain elevators using its products.“Medici Ventures encourages its keiretsu companies to find synergies among the group to build world-changing technologies. We’re pleased to see these two keiretsu companies working together to build meaningful technology that benefits everyone in the global agricultural community,” said Jonathan Johnson, CEO of Overstock.com and president of Medici Ventures. “GrainChain and Symbiont’s goals align directly with ours, as the companies are working to eliminate middlemen, democratize capital, and re-humanize commerce through the use of blockchain technology.”GrainChain’s innovative platform allows for quicker payments between farmers and buyers while offering immediate availability of tradable commodities. GrainChain currently has operations in Texas, Mexico, and Honduras, with plans to expand to several new countries in 2020.Symbiont is an enterprise fintech company building the next generation of financial markets infrastructure on a foundation of blockchain technology. Symbiont’s Assembly™ blockchain platform provides privacy features and seamless scalability and allows its customers to build networks where numerous, independent entities may view and share data in real time.“GrainChain’s goal is to continue to grow into new countries to help support farmers around the globe, and Symbiont’s blockchain platform is the solution that will help us reach that goal,” said Luis Macias, CEO and founder of GrainChain. “By utilizing blockchain technology in our supply chain operations, each stakeholder in the agriculture ecosystem receives fair value and prompt payment, which is something we believe every buyer and farmer should have access to.”“Assembly™ will bring efficiencies to GrainChain’s operations while allowing the company to continue to empower farmers around the globe,” said Mark Smith, Symbiont CEO. “GrainChain’s work in reducing frictional costs for both farmers and buyers helps everyone in the ecosystem, and Symbiont is pleased to support GrainChain’s expansion to bring this important technology to the global agricultural community.”Medici Ventures, Overstock.com’s wholly owned blockchain accelerator, was founded in 2014 with a mission to change the world by accelerating the adoption of blockchain technology, in order to fundamentally change the way in which we transact. Medici Ventures’ keiretsu of companies are introducing blockchain technologies to industries such as identity, land governance, money and banking, capital markets, supply chain, and voting. Medici Ventures is also committed to increasing public awareness and understanding of the use cases for and corresponding value of blockchain technology through public engagement and policymaker outreach.About GrainChain
GrainChain was founded in 2013 with the goal of using technology to empower farmers and level the playing field in the global agricultural market. Our innovative, blockchain and IoT-based suite of products allows producers, buyers and storage operators to accurately, efficiently and reliably buy, sell and track commodities throughout the supply chain, from farm to market.About Symbiont
Symbiont is the enterprise fintech company creating the next generation of financial markets infrastructure using blockchain technology. Assembly™, Symbiont’s enterprise blockchain platform, creates efficiencies, eliminates manual data replication and reconciliation processes, and enables real-time data sharing with complete privacy. The world’s leading financial services firms, including Citi, Nasdaq, Ranieri, Templum and Vanguard, choose to work with Symbiont to solve their toughest business problems. With offices in New York and Amsterdam, Symbiont is led by a team of experts in capital markets and blockchain technology. To learn more about Symbiont, please visit symbiont.io or contact the team at firstname.lastname@example.org.About Medici Ventures
Launched in 2014, Medici Ventures is a wholly-owned subsidiary of Overstock.com, Inc. created to leverage blockchain technology to solve real-world problems with transparent, efficient, and secure solutions. Medici Ventures has interests in a global keiretsu of groundbreaking blockchain-focused companies focused on building the foundation of a technology stack for civilization. Medici Ventures’ companies are introducing blockchain technology to industries including identity, land governance, money and banking, capital markets, supply chain, and voting. The company’s majority-owned financial technology company, tZERO, executed the world’s first blockchain-based stock offering in December 2016.About Overstock
Overstock.com, Inc Common Shares (NASDAQ:OSTK) / Digital Voting Series A-1 Preferred Stock (Medici Ventures’ tZERO platform:OSTKO) / Series B Preferred (OTCQX:OSTBP) is an online retailer and technology company based in Salt Lake City, Utah. Its leading e-commerce website sells a broad range of new home products at low prices, including furniture, décor, rugs, bedding, home improvement, and more. The online shopping site, which is visited by nearly 40 million customers a month, also features a marketplace providing customers access to millions of products from third-party sellers. Overstock was the first major retailer to accept cryptocurrency in 2014, and in the same year founded Medici Ventures, its wholly owned subsidiary dedicated to the development and acceleration of blockchain technologies to democratize capital, eliminate middlemen, and re-humanize commerce. Overstock regularly posts information about the Company and other related matters on the Newsroom and Investor Relations pages on its website, Overstock.com.O, Overstock.com, O.com, Club O, Main Street Revolution, and Worldstock are registered trademarks of Overstock.com, Inc. Other service marks, trademarks and trade names which may be referred to herein are the property of their respective owners.This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements include all statements other than statements of historical fact, including but not limited to statements regarding Overstock’s expectations regarding Symbiont and GrainChain. Additional information regarding factors that could materially affect results and the accuracy of the forward-looking statements contained herein may be found in the Company’s Form 10-Q for the quarter ended December 31, 2019, which was filed with the SEC on March 13, 2020, and any subsequent filings with the SEC.SOURCE: Overstock.com, Inc.Media Contact:
Labuan IBFC’s Financial Services Community Band Together to Contribute to the Relief Efforts in Combating COVID-19
Labuan International Business and Financial Centre, Labuan IBFC’s financial services and intermediation community have come together to assist local authorities in relief efforts via the pooling of resources.
Labuan IBFC’s Cross-Industry Group comprising of all the industry associations representing licensed entities in the jurisdiction has led the formation of a pool fund, focused on providing relief to frontliners and those less fortunate in Labuan.
This Cross-Industry Group consists of Labuan Financial Services Authority, Labuan International Insurance Association, Association of Labuan Banks, Association of Labuan Trust Companies, Labuan Investment Banking Group and the Labuan Fintech Association.
The Labuan IBFC Community is deeply concerned about the growing scale of the COVID-19 pandemic and its social and economic impact, particularly on Labuan island. Specifically, this resource pool will fund towards the purchase and distribution of personal protective equipment for hospital staff, healthcare providers, and other frontline service personnel on the island.
Relief, in the form of household necessities, will also be provided to those in the B40 income group and to daily wage earners who are impacted by the situation, as well as schools and small businesses.
The above effort is testament of the commitment and empathy of the Labuan IBFC community towards the people of Labuan island, by providing whatever assistance it can to relieve hardships under the current situation.
SOURCE Labuan IBFC
Asia-Pacific B2B Payments Market, Forecast to 2025 – Lucrative Opportunities in Offering Competitive Payment Terms, Virtual Credit Cards, Digital Currencies & Value-added Services
Dublin, March 27, 2020 (GLOBE NEWSWIRE) — The “Growth Opportunities in the Asia-Pacific B2B Payments Market, Forecast to 2025” report has been added to ResearchAndMarkets.com’s offering.Digital payments technology adoption in Asia-Pacific remains in a nascent stage, and unlike digital payment methods used by consumers in which streamlined checkout processes accept instant payment using credit cards, the bulk of B2B payments is still tied to paper checks and manual processes.What are the trends within the B2B payments landscape in Asia-Pacific?How large is the B2B payments market in Asia-Pacific?When is the digital B2B payments market projected to grow in Asia-Pacific, and what are the expected growth rates?What are the potential implications of digitalization on B2B payments?What are future opportunities within B2B payments in Asia-Pacific?What is the market outlook on B2B payments in Indonesia?What is the market outlook on B2B payments in Vietnam?Key Topics Covered
1. Executive SummaryKey Findings – Asia-PacificKey Findings by Country2. Market Overview – Total B2B Payments MarketMarket DefinitionsKey Questions This Study Will AnswerMarket SegmentationRisks in B2B PaymentsMarket Trends – B2B Payments Paid LateMarket Trends – Increased Usage of eInvoicingMarket Trends – Decline in Use of Trade CreditMarket Trends – Increased Government Support3. Drivers & Restraints – Total B2B Payments MarketMarket DriversMarket Driver – Growth and Support of SMEsMarket Driver – Partnerships & Collaborations amongst Key Industry ParticipantsMarket Driver – Partnerships & Collaborations amongst Key Industry Participants (continued)Market Driver – GlobalizationMarket Driver – Growth in Payment Technology SolutionsMarket RestraintsMarket Restraint – Geopolitical Risk for Cross-border B2B PaymentsMarket Restraint – Security Concerns over Digital Payment MethodsMarket Restraint – Complexity and Inefficiency of B2B Payments4. Forecast and Trends – Total B2B Payments MarketForecast AssumptionsRevenue Forecast by Payment TypeRevenue Forecast by Payment Type Discussion5. Key B2B Payments Solution Providers in Asia-PacificVisa ProfileMastercard ProfileEKO-PAY ProfileInvapay ProfilePayoneer ProfileiPayLinks ProfilePayPal ProfileTransferWise ProfileWestern Union ProfileEarthport Profile6. B2B Payments in IndonesiaCountry Analysis – IndonesiaRevenue Forecast by Payment TypeRevenue Forecast by Payment Type DiscussionIndonesia B2B Payments – Service and Market TrendsIndonesia – B2B Payments Competitive Landscape7. B2B Payments in VietnamCountry Analysis – VietnamRevenue Forecast by Payment TypeRevenue Forecast by Payment Type DiscussionVietnam B2B Payments – Service and Market TrendsVietnam – B2B Payments Competitive Landscape8. Growth Opportunities and Companies to ActionGrowth Opportunity 1 – Offer Competitive Payment TermsGrowth Opportunity 2 – Offer Virtual Credit CardsGrowth Opportunity 3 – Offer Digital CurrenciesGrowth Opportunity 4 – Offer Feasibility throughout Delivery ProcessGrowth Opportunity 5 – Offer Value-added ServicesStrategic Imperatives for Success Factors9. The Last WordThe Last Word – Conclusion and RecommendationsThe Last Word – 3 Big PredictionsFor more information about this report visit https://www.researchandmarkets.com/r/p27dqbResearch and Markets also offers Custom Research services providing focused, comprehensive and tailored research.CONTACT: ResearchAndMarkets.com
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