This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

ICE Sets Euronext IPO Price Range, Value Could Reach $2.4B

Stocks in this article: ICE

BRUSSELS (The Deal) -- IntercontinentalExchange Group (ICE) on Tuesday set an indicative price range for the IPO of Euronext that values the European exchanges operator at up to 1.75 billion euros ($2.4 billion).

ICE, which also owns the New York Stock Exchange, said it will sell up to 42.1 million shares, or almost 60.2% of the company, at between 19 euros and 25 euros a share, valuing Euronext at between 1.33 billion euros and 1.75 billion euros.

The IPO comes seven months after ICE acquired Euronext -- along with the Liffe derivatives business -- through its $11 billion purchase of NYSE Euronext. At that time, ICE said it would spin off Euronext by this summer to address regulators' concerns about a trans-Atlantic powerhouse.

The IPO will restore Euronext to independence for the first time since 2007, when it was scooped up by NYSE Group Inc. for about $8.2 billion.

"Euronext's role in supporting the real economies of Europe will be further strengthened by our independence," Euronext CEO Dominique Cerutti said in a statement Tuesday. "We believe that we are well positioned to develop our markets across Europe, by optimizing our underexploited businesses and repositioning as a leading capital raising center."

The newly independent exchange will be listed in Paris, Amsterdam and Brussels and eventually also Lisbon.

In 2011, ICE teamed up with Nasdaq OMX Group Inc. for an $11 billion hostile bid for NYSE Euronext, only to be blocked by U.S. regulators. The following year, NYSE Euronext's attempt to join forces with Deutsche Boerse AG was blocked by the European Commission. Deutsche Boerse has meanwhile appealed against the EC's February 2012 veto before the EU's highest course in Luxembourg.

A group of more than 10 financial institutions including Portugal's Banco Espirito Santo SA and France's BNP Paribas SA will buy a combined 33.36% for 4% less than whatever the eventual IPO price is, up to a maximum price of 26 euros a share. Other institutional shareholders have committed to buy 2% of the shares at the IPO price.

The offer period for retail investors is due to run through June 18, and for institutional investors until June 19.

ABN Amro Bank NV, JPMorgan Chase & Co. and Societe Generale SA are acting as joint global coordinators of the IPO, with Goldman Sachs International, ING Bank NV and Morgan Stanley acting as joint book runners.

Banco Bilbao Vizcaya Argentaria SA, BMO Capital Markets, Banco BPI SA, CM-CIC Securities, Espirito Santo, KBC Securities and Mitsubishi UFJ Securities will act as lead managers.

BNP Paribas is advising the Euronext board on the IPO.

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs