ESCHBORN (dpa-AFX) - Deutsche Börse said that it has entered into binding agreements on the acquisition of Axioma Inc., which is a provider of portfolio and risk management solutions. Axioma will be combined with Deutsche B?rse's entire index business.
As part of this, Deutsche Börse has entered into a partnership with General Atlantic, which will invest around $715 million into the new company, resulting in an ownership of around 19%. This is based on a valuation of 2.6 billion euros for the index business of Deutsche B?rse and an Axioma acquisition value of $850 million (cash and debt free; around 820 million US-Dollar equity value), which will be financed by General Atlantic's investment.
The transaction will be cash-neutral for Deutsche Börse. In addition to Deutsche Börse as majority shareholder and General Atlantic also certain members of the Axioma management will reinvest around $105 million of their sales proceeds and become shareholders of the new company.
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