Germany’s Deutsche Bourse buys forex trading platform 360T
Deutsche Boerse said it will buy the Germany-based foreign exchange trading platform 360T for ¤725 million.
360T is one of a handful of multi-bank, multi-user platforms which have revolutionised foreign exchange trading over the past decade. Deutsche Boerse beat US commodities and currency exchange operator CME Group in the auction, according to sources familiar with the deal.
The deal is the biggest acquisition by Deutsche Boerse since the Frankfurt-based stock-exchange operator bought US derivatives exchange ISE in 2007 for US$2.8 billion. It is also the first large deal by the new Chief Executive Carsten Kengeter, who is targeting further buys.
He is already in talks with Swiss Six Group to buy the remaining stakes in their index joint ventures Stoxx and Indexium.
From a strategic growth perspective, Deutsche Boerse wanted to be a leading global marketplace for multiple asset classes. With FX being the single largest asset class, that made 360T a "must have" for the German exchange, a person familiar with the deal said Sunday.
360T founder Carlo Koelzer is credited a decade ago with helping launch a new generation of forex platforms that allowed European companies to pick and choose which banks they traded currencies with
A company spokesman said most of the 360T acquisition will be financed with bonds, while no decision has been taken about a potential small capital increase. He added that Deutsche Boerse aims to keep its indebtedness at a level allowing for the AA rating of its Clearstream unit to remain unchanged.