Deutsche Börse launches new investment intelligence leader Qontigo
Monday, September 16th, 2019
Axioma Inc. acquisition successfully completed; combined with Deutsche Börse’s existing index businesses STOXX and DAX
16 September 2019 - Deutsche Börse Group is expanding its portfolio with a newly created growth company, Qontigo – a financial intelligence innovator and leader in the modernisation of investment management, from risk to return. This step follows the successful closing of the Axioma acquisition, announced earlier this year, and receipt of required regulatory approvals.
Qontigo combines Deutsche Börse’s world-class indices (STOXX and DAX) and Axioma’s best-of-breed portfolio-construction and risk analytics tools to enable clients to achieve a competitive advantage in a rapidly changing marketplace. Qontigo is uniquely equipped to address trends that are reshaping investment management. These include the growth of passive investing and smart beta, the modernisation of the investment management technology infrastructure to achieve efficiency and scale, and the transition towards customisation of investment solutions.
Stephan Leithner, responsible Member of the Executive Board of Deutsche Börse AG, said: “With Qontigo we are creating a buy-side intelligence leader that provides indexing products and analytics to meet the growing demand for increasingly sophisticated solutions and a platform for future growth in line with our Roadmap 2020 ambitions.” Deutsche Börse’s Roadmap 2020 growth strategy builds on three pillars: organic growth, programmatic M&A and new technologies.
Sebastian Ceria, who will lead Qontigo as CEO, said: “We will build upon the strengths of Axioma, STOXX and DAX to create a client-centric growth company – one driven by a strong entrepreneurial spirit, a relentless commitment to innovation, and the deployment of modern technology. With the support of Deutsche Börse Group and General Atlantic, we look forward to providing next-generation investment intelligence to our clients.”
Gabriel Caillaux, Managing Director and Head of EMEA at General Atlantic, stated: “We have strong conviction that Qontigo can deliver a fully integrated joint buy-side client proposition that builds upon the indexing and portfolio/risk analytics legacies of the STOXX and Axioma businesses. We look forward to working with management and Deutsche Börse to deliver strong growth and value creation to Qontigo’s clients as well as our investors.”
The root of the brand name Qontigo means “with you” and conveys the spirit of continuous innovation and partnership with clients that forms the foundation of the new company. As part of the Qontigo launch, updated branding is also being introduced across STOXX, DAX and Axioma to build on the strong existing brands and create visual alignment with the new unified corporate identity.
As part of the transaction, Deutsche Börse has entered into a strategic partnership with General Atlantic, a leading global growth equity investor. General Atlantic invested approximately USD 720 million in Qontigo, which was used to partly finance the acquisition of Axioma. Deutsche Börse’s index business (STOXX and DAX) was valued at EUR 2.6 billion and Axioma at USD 850 million in this transaction.
Qontigo is headquartered in Eschborn, with key locations in New York, Zug and London.
Qontigo is a financial intelligence innovator and a leader in the modernization of investment management, from risk to return. The combination of the group’s world-class indices and best-of-breed analytics, with its technological expertise and customer-driven innovation, enables its clients to achieve competitive advantage in a rapidly changing marketplace. Qontigo’s global client base includes the world’s largest financial products issuers, capital owners and asset managers. Created in 2019 through the combination of Axioma, DAX and STOXX, Qontigo is part of Deutsche Börse Group, headquartered in Eschborn with key locations in New York, Zug and London.
About Deutsche Börse
Deutsche Börse Group is one of the largest exchange organisations worldwide. It organises markets characterised by integrity, transparency and safety for investors who invest capital and for companies that raise capital – markets on which professional traders buy and sell equities, derivatives and other financial instruments according to clear rules and under strict supervision. Deutsche Börse Group, with its services and systems, ensures the functioning of these markets and a level playing field for all participants – worldwide.
About General Atlantic
General Atlantic is a leading global growth equity firm providing capital and strategic support for growth companies. Established in 1980, General Atlantic combines a collaborative global approach, sector-specific expertise, a long-term investment horizon and a deep understanding of growth drivers to partner with great entrepreneurs and management teams to build exceptional businesses worldwide. General Atlantic has more than 150 investment professionals based in New York, Amsterdam, Beijing, Greenwich, Hong Kong, Jakarta, London, Mexico City, Mumbai, Munich, Palo Alto, São Paulo, Shanghai, and Singapore. For more information on General Atlantic, please visit the website: www.generalatlantic.com
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This document contains forward-looking statements and statements of future expectations that reflect management’s current views and assumptions with respect to future events. Such statements are subject to known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied and that are beyond Deutsche Börse AG’s ability to control or estimate precisely. In addition to statements which are forward-looking by reason of context, the words “may, will, should, expects, plans, intends, anticipates, believes, estimates, predicts, potential, or continue” and similar expressions identify forward-looking statements. Actual results, performance or events may differ materially from those statements due to, without limitation, (i) general economic conditions, (ii) future performance of financial markets, (iii) interest rate levels, (iv) currency exchange rates, (v) the behaviour of other market participants, (vi) general competitive factors, (vii) changes in laws and regulations, (viii) changes in the policies of central banks, governmental regulators and/or (foreign) governments, (ix) the ability to successfully integrate acquired and merged businesses and achieve anticipated synergies, (x) reorganisation measures, in each case on a local, national, regional and/or global basis.
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