Deutsche Boerse to buy General Atlantic's remaining stake in ISS STOXX for €1.1bn

(Sharecast News) - Deutsche Boerse has agreed to buy General Atlantic's remaining 20% interest in data, analytics and index provider ISS STOXX for €1.1bn. The German exchange operator said the deal is expected to have a low single-digit accretive effect on cash earnings per share in the first year of full ownership.

Christian Kromann, member of the Executive Board of Deutsche Boerse, said: "We are grateful for the partnership with General Atlantic. Their support and expertise have been invaluable for the successful merger that created ISS STOXX and the subsequent development of the business.

"This step now re-confirms our strategic ambition to empower the investment management industry with leading data, analytics, and index solutions. We look forward to building on the strong foundation we laid with General Atlantic as we further build-out the business as part of the group's Investment Management Solutions."

News of the deal came alongside Deutsche Boerse's latest results, which showed a drop in fourth-quarter pre-tax profit to €2.86bn from €2.95bn in the same quarter a year earlier. Revenue rose to €1.74bn from €1.59bn.

For the full year, pre-tax profit rose 3% to €11.65bn while revenue was 10% higher at €6.54bn.

Chief executive Stephan Leithner said: "In the past financial year, we have impressively demonstrated the strength and resilience of our diversified business portfolio. Strong secular growth more than offset the headwinds from the interest rate environment, low volatility, and currency effects."