Birketts advises Euronext on acquisition of Global Rate Set Systems
Euronext, the leading pan-European market infrastructure, acquired 75 per cent of the share capital of GRSS, which is a leading provider of services to benchmark administrators. The acquisition expands and enhances Euronext’s index franchise, positioning the Group as a leading player in the calculation and administration of Interbank Offered Rate (IBOR) indices.
Euronext is headquartered in Amsterdam but operates markets in Paris, Brussels, Dublin, Lisbon, Milan, and Oslo.
Founded in 2009 and headquartered in New Zealand, GRSS provides mission-critical services to the benchmark administrators that produce three of Europe’s critical interest rate benchmarks. In 2023 (YE March), GRSS generated NZ$14.9million (€8.6m) in revenue.
Stéphane Boujnah, CEO and Chairman of the Managing Board of Euronext, said: “The acquisition of Global Rate Set Systems is a new milestone in broadening the Euronext data and indices offering. Euronext is today one of the leading providers of flagship equity indices, such as the CAC 40®, AEX® and OBX®. This transaction allows us to further expand Euronext’s offering to interest rate benchmark indices and contributed data indices.
“GRSS has a strong track record of continued revenue growth and high-quality service. We are glad to welcome to Euronext the existing GRSS management team, who will contribute to taking GRSS to the next step and further globally expand Euronext’s index capabilities.”
Craig McIvor, Co-founder and Chief Executive Officer of GRSS, added: “The acquisition by Euronext of a majority stake in GRSS underlines the high quality of its services towards customers. The GRSS management team is very excited about this acquisition and sees strong benefits and growth opportunities arising from being part of Euronext.
“Euronext already has a leading position in the equity indices space, which GRSS will complement by contributing GRSS’ expertise in interest rate benchmarks and contributed data indices.”
The Birketts team was led by Partner Adam Jones (Corporate) and was supported by Tom Utting (Associate, Corporate), Faye Power (Solicitor, Corporate), Alex Price (Solicitor, Corporate), Karl Pocock (Parter, Corporate Tax) and Emma Nel (Solicitor, Corporate Tax).
Jones said: “Working with the M & A and legal teams at Euronext in this global acquisition, alongside a network of counsel in seven other jurisdictions, has been a fantastic experience and clearly demonstrates Birketts’ credentials for international M & A.
“This sizeable deal provides a fantastic opportunity for the growth of Euronext’s indices business, for which we wish the team all the best for the future.”