Aquis Exchange set to acquire NEX Exchange from CME Group
The purchase price includes a cash consideration of £1, plus approximately £2.7 million based on NEX Exchange’s current working capital levels.
Exchange services group Aquis Exchange PLC (LON:AQX) has earlier today announced it has agreed to acquire NEX Exchange Limited from CME Group Inc for a cash consideration of £1, plus approximately £2.7 million based on NEX Exchange’s current working capital levels.
Aquis explains that this acquisition is another step its ambition to become the leading exchange services group in Europe and provides a unique opportunity to acquire an RIE business with a focus on primary markets in a cost and time effective manner.
The Board believes that with Aquis’ experience in both building new businesses in the exchange industry and also increasing liquidity, it has the ability to transform NEX Exchange at a time when MiFID II implications and other factors make the industry ripe for innovation. The Board believes that the Acquisition provides a unique opportunity to build a pan-European, technology driven, listing exchange for growth companies.
Based on the audited financial accounts for the year to end-March 2018, NEX Exchange delivered revenues of £1.51 million and a loss before tax of £2.05 million. Aquis believes that significant cost savings can be delivered in the short term, significantly reducing the loss in the initial period following the acquisition.
Completion of the Acquisition is expected this autumn, subject to FCA approval. The Company will update the market upon receipt of FCA approval and completion.
Let’s recall that NEX announced that its acquisition by CME was completed in November 2018. The Scheme became effective as of November 2, 2018, following the sanction of the Scheme by the Court on November 1, 2018 and the delivery of the Court order to the Registrar of Companies.