CDP Equity
Financial Infrastructures

Euronext

  • Status Active
  • CDP Equity Start of the investment 04/29/2021
  • CDP Equity Investment size € 625 mln
  • CDP Equity Shareholding 7.3%
CDP Equity

Overview

Euronext manages seven European equity markets (Amsterdam, Brussels, Dublin, Lisbon, Oslo, Paris and Milan) with 1,870 listed companies with a total capitalisation of € 5,100 bln. The entry of the CDP Group on Euronext has led to the creation of a leading group on the European capital market. The operation was performed after the acquisition of the entire shareholding of Borsa Italiana by Euronext from the London Stock Exchange Group. Specifically, CDP Equity’s intervention happened with the acquisition of 7.3% of Euronext, through a subscription for € 491 mln of a first reserved capital increase and an investment of € 134 mln in a second a capital increase, offered as an option to all shareholders – including CDP Equity –, which committed to subscribe pro quota, thus keeping its shareholding unchanged.

Rationale

CDP Equity is now the leading shareholder of Euronext, with the same share as its French counterpart Caisse des Depots et Consignations (CDC). The intervention is consistent with the CDP Group’s mission to support Italy’s strategic infrastructure over the long-term. Borsa Italiana is, in fact, essential financial infrastructure, as it represents the main hub for Italian companies to collect equity and bonds.

Objectives

In addition to generating synergies, the aim of the operation is to offer significant benefits to Italian investors and firms, especially SMEs, which will have access to a single pool of pan-European liquidity, increasing the visibility of national issuers, also thanks to the development of the companies MTS, Montetitoli, Cassa di Compensazione e Garanzia and the Elite platform. Moreover, the CDP Group will foster the growth of the entire Italian financial intermediation services industry and the development of infrastructure crucial for Italy’s business and economic recovery. At EU level, the operation will strengthen Euronext as one of the European leaders in the capital market that, thanks to the integration of seven European lists, will be able to represent the main core of the Capital Markets Union.