Cleary Gottlieb represented long-time client NYSE Euronext in the sale to Borsa Italiana (the Italian Stock Exchange) of its 51% stake in MBE Holding, the joint venture between NYSE Euronext and Borsa Italiana that owns 60.37% of Società per il Mercato dei Titoli di Stato S.p.A. (MTS), and its 33% stake in MTSNext. Under the terms of the agreement, NYSE Euronext’s interests in MBE Holding and MTSNext are valued at €100 million. The agreement was signed on August 3, and closing is expected by mid-September.
The agreement follows the exercise by Borsa Italiana of a call option triggered by the change of control of Euronext N.V. following its combination with NYSE Group, Inc., consummated in April. With this transaction, Borsa Italiana, which already owned 49% of MBE Holding, will become the sole shareholder of MTS.
MTS is a regulated European electronic exchange for government bonds and other types of fixed income securities. MTSNext is a joint venture between MTS and Euronext N.V. responsible for the management and promotion of the EuroMTS Indices.
NYSE Euronext is a holding company created by the combination of NYSE Group, Inc. and Euronext N.V. It operates the world’s largest and most liquid exchange group and offers the most diverse array of financial products and services. Bringing together six cash equities exchanges in five countries and six derivatives exchanges in six countries, it is a world leader for listings, trading in cash equities, equity and interest rate derivatives, bonds and the distribution of market data.