NEW YORK (The Deal) -- IntercontinentalExchange Group (ICE), the Atlanta-based owner of the New York Stock Exchange, announced plans Tuesday, May 28, for an initial public offering of European exchanges operator Euronext and lined up a group of more than 10 financial institutions which will take a 33% stake beforehand.
Those institutions include Portugal's Banco Espirito Santo and BNP Paribas, of France. All are expected to hold onto their shares for three years after the offering.The subsequent IPO will take place before the end of June and be broken into two parts: a secondary sale to institutional and retail investors in the Netherlands, France, Belgium and Portugal, followed by a private placement to institutional investors in various other jurisdictions including the United States.
Euronext shares are to be listed in Paris, Amsterdam and Brussels, and then before the fourth quarter in Lisbon. Euronext operates equity, fixed income and derivatives exchanges in all four cities, and reportedly has valued itself at between 1.4 billion and 1.8 billion ($2.1 billion and $2.5 billion).
ICE inherited NYSE Euronext--along with NYSE's Liffe derivatives business--through its $11 billion purchase last November of NYSE Euronext. Already at that time, ICE said it would spin off Euronext by this summer to address regulators' concerns about a trans-Atlantic powerhouse.