SIX Group offers to buy Spanish stock exchange company BME for €2.84bn

SIX Group, a Swiss financial services company, has proposed to acquire 100% of Spanish stock exchange company Bolsas y Mercados Españoles (BME) for €34 per share, valuing the transaction at €2.84 billion.

BME deals with the organizational aspects of stock exchanges and financial markets in Spain.

The Spanish stock exchange company offers a range of services, products, and trading systems. It is also engaged in serving issuers, investors, and intermediaries across Europe, America, and Africa with global market access systems.

With the acquisition of BME, the Swiss financial services company claims that it will establish the third-largest European financial market infrastructure group.

SIX Group said that it will create centers of excellence and add new capabilities to participants of the two organizations in order to improve both the Spanish and Swiss ecosystems.

The proposed transaction is also likely to bring new global capital pools to Spain and boost the presence of Swiss asset managers in the European Union.

SIX Group offers to acquire Spanish stock exchange company BME. Photo courtesy of SIX Group.

Jos Dijsselhof – SIX Group CEO said: “BME will benefit from SIX’s expertise across the value chain, an opportunity to become the EU-hub for the w BME orld’s largest asset pool, SIX’s strengths in financial information and distributed ledger technology, as well as its global reach.

“It is intended that BME will continue to operate independently with its existing management team, regulated by the CNMV as now.”

The proposal received a positive response from the board of directors of the Spanish stock exchange company, who said that the price offered by SIX Group, from a financial point of view, may fairly match the current value of the businesses.

BME stated: “The Offer has been preceded by discussions between representatives of SIX and BME including a presentation by SIX to the Board of Directors of BME of its industrial project for the future management of the markets, systems and infrastructures currently managed by BME, as well as certain commitments that it is ready to assume in relation to BME and the Spanish authorities with the purpose of preserving the integrity and stability of such markets, systems and infrastructures.”

Meanwhile, European stock exchange company Euronext is also planning a proposal to acquire BME and is currently in talks with the board of the Spanish bourse. However, Euronext said that the talks may or may not materialize into a potential transaction.