SIX Exchange Group has agreed to acquire Aquis Exchange, intending to strengthen its listing venue status and cater to retail investors.
Providing an expanded universe of tradable securities, Aquis will allow SIX to expand its retail brokerage, it said, and improve execution quality across Europe. Additionally, the group intends to grow a “competitive pan-European listing venue” using Aquis’s ability to grant small and medium enterprises and growth companies access to capital markets.
Bjørn Sibbern global head of exchanges at SIX, confirmed that “as part of SIX, Aquis will continue to operate under its existing brand and business model with maximum agility while benefiting from our resources, scale and further investment, enhancing Aquis’ ability to continue to develop its business.”
Aquis stated that the acquisition is driven by an awareness of market competition, and the long-term risks of remaining independent. According to Global Trading’s exchange survey conducted earlier this year, Aquis equity trading volumes of €276.8 billion and an average daily turnover of €2.18 billion in H1 2024. SIX, by contrast, reported €835.4 billion equity trading volume and average daily turnover of €3.3 billion.
CEO and founder Alasdair Haynes explained: “Aquis has a clear path of growth ahead; however, the Aquis directors recognise there are always some operational, commercial and market risks associated with the timing of future value creation. The offer de-risks this future value creation and provides Aquis shareholders with certain value at a material premium.”
Aquis recently announced its entry into the consolidated tape provider (CTP) race, launching SimpliCT with Cboe Europe. SimpliCT is competing with EuroCTP, a consortium in which SIX is a stakeholder. On this possible conflict, “if Aquis continues to explore or is pursuing a bid to perform the equity consolidated tape provider role, SIX intends to withdraw from EuroCTP”, it stated. “Aquis remains excited about exploring the opportunity of launching a bid, a spokesperson for the firm added.
READ MORE: Aquis and Cboe enter the CTP ring
The recommended cash offer values Aquis at £225 million on a fully diluted basis, with shareholders receiving £7.27 per share in cash. This is a 120% premium to 8 November’s closing price of £3.30 per share, and a 68% premium to the six-month volume weighted average price of £4.33. SIX will acquire 51% of Aquis, equivalent to 13,977,707 shares.
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