Deutsche Börse has agreed to purchase the remaining 49% stake in Clearstream Fund Centre from UBS for approximately $427m (CHF 390m).
The German stock exchange operator, which picked a 51% stake in Clearstream last September, will be now become the sole owner of the Zurich-based fund distribution platform.
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Deutsche Boerse said the deal complement its previous deals in the investment funds industry. These includes its acquisitions of Citco Global Securities Services, Swisscanto Funds Centre and Ausmaq.
Deutsche Börse executive board member and Clearstream chairman Stephan Leithner said: “Our two-step integration approach with UBS has enabled a seamless transition for clients and laid the perfect basis for our continued, long-term partnership with UBS.
“We see significant opportunities to further grow the global footprint of this business, particularly in Europe but also in Asia Pacific. This transaction is fully in line with our strategy to grow our offering in areas that are benefitting from strong secular growth.”
The transaction is expected to result in a low to medium double-digit million Euro book gain for Deutsche Börse, while UBS said it expects to recognise post-tax gain of around $35m.
Under the agreement, UBS will continue to be long-term partner of Clearstream across the full value chain of the funds services market.
The transaction, subject to certain closing conditions, is expected to complete in June.
In November last year, Deutsche Borse agreed to acquire a majority stake in Institutional Shareholder Services for nearly $1.8bn.
