Deutsche Börse Group completes FundsDLT acquisition
10 January 2024 Luxembourg
Image: Alexey Fedorenko
Global market infrastructure provider Deutsche Börse Group has completed its acquisition of FundsDLT.
Following regulatory approval from Luxembourg financial regulator Commission de Surveillance du Secteur Financier (CSSF), the Group now owns 100 per cent of the company.
FundsDLT is a Luxembourg-based decentralised platform based on distributed ledger technology (DLT) for end-to-end fund issuance and commercialisation.
The company will operate within the Clearstream Fund Services business segment, but will do so independently from Clearstream, Deutsche Börse Group’s post-trade infrastructure provider in Luxembourg.
Deutsche Börse Group announced its decision to acquire the remaining shares of the firm in August 2023, which it said would “complement and strengthen the fund processing and distribution offerings of Deutsche Börse’s post-trade infrastructure provider Clearstream”.
In addition, the integration aims to drive existing live blockchain-based end-to-end fund transactions, backed by Clearstream’s fund processing platform Vestima.
In March 2020, and via Clearstream, Deutsche Börse Group joined forces with the Luxembourg Stock Exchange, Credit Suisse Asset Management and Natixis Investment Managers to invest in and further develop FundsDLT as the first platform to carry out fund subscription on blockchain infrastructure.
Former shareholders Credit Suisse Asset Management, UBS Asset Management and Natixis Investment Managers remain committed clients, the Group says, helping Clearstream to drive the use case development further.
FundsDLT will retain its legal identity and licence under the CSSF.
At the time of the August announcement, Philippe Seyll, CEO of Clearstream Fund Centre, said: “The acquisition of FundsDLT is a critical and natural step in our digital strategy. It demonstrates our position at the forefront of innovation and will redefine the overall distribution chain of the fund business.”
Following regulatory approval from Luxembourg financial regulator Commission de Surveillance du Secteur Financier (CSSF), the Group now owns 100 per cent of the company.
FundsDLT is a Luxembourg-based decentralised platform based on distributed ledger technology (DLT) for end-to-end fund issuance and commercialisation.
The company will operate within the Clearstream Fund Services business segment, but will do so independently from Clearstream, Deutsche Börse Group’s post-trade infrastructure provider in Luxembourg.
Deutsche Börse Group announced its decision to acquire the remaining shares of the firm in August 2023, which it said would “complement and strengthen the fund processing and distribution offerings of Deutsche Börse’s post-trade infrastructure provider Clearstream”.
In addition, the integration aims to drive existing live blockchain-based end-to-end fund transactions, backed by Clearstream’s fund processing platform Vestima.
In March 2020, and via Clearstream, Deutsche Börse Group joined forces with the Luxembourg Stock Exchange, Credit Suisse Asset Management and Natixis Investment Managers to invest in and further develop FundsDLT as the first platform to carry out fund subscription on blockchain infrastructure.
Former shareholders Credit Suisse Asset Management, UBS Asset Management and Natixis Investment Managers remain committed clients, the Group says, helping Clearstream to drive the use case development further.
FundsDLT will retain its legal identity and licence under the CSSF.
At the time of the August announcement, Philippe Seyll, CEO of Clearstream Fund Centre, said: “The acquisition of FundsDLT is a critical and natural step in our digital strategy. It demonstrates our position at the forefront of innovation and will redefine the overall distribution chain of the fund business.”
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