Cboe Global Markets has completed the acquisition of EuroCCP, combining the two pan-European organisations.
The acquisition paves the way for the planned launch of Cboe Europe Derivatives, a new Amsterdam-based futures and options market, in the first half of 2021, subject to regulatory approvals.
Meanwhile, as part of the transaction, EuroCPP put in place a committed credit facility of up to €1.5 billion.
According to Cboe, this facility is an important part of a number of new tools and procedures designed to strengthen the firm's liquidity risk management framework and help ensure EuroCCP continues to meet relevant liquidity requirements under the European Market Infrastructure Regulation (EMIR).
Ed Tilly, chair, president and CEO of Cboe Global Markets, said: "This acquisition is a significant milestone for our European business. Full ownership of a leading equities clearing house not only enhances our current European equities business, but also provides opportunities to diversify our business into trading and clearing derivatives in the region. We are delighted to welcome the EuroCCP team to Cboe Global Markets."
David Howson, president of Cboe Europe, added: "This deal marks the beginning of the next chapter for Cboe Europe and, together with EuroCCP, we couldn't be more excited to further deliver on our pan-European mission by planning the launch of Cboe Europe Derivatives”
Howson continued: “We have listened to the needs of market participants and are designing this new market from a pan-European point-of-view, leveraging our global derivatives expertise, European equities footprint, and world-class technology to build a more efficient equity derivatives market."
Cécile Nagel, CEO of EuroCCP, commented: "We believe this transaction positions EuroCCP for continued success. In addition to building out our derivatives clearing services, we see many opportunities to collaborate with Cboe to expand our product offering across asset classes. With our shared values and focus on innovation and client service, together with Cboe we can do even more to advance capital markets in Europe.”
