Deutsche Börse Group has reached an agreement to acquire the remaining 20% minority stake in ISS STOXX, a leading data, analytics and index provider, held by General Atlantic, a leading global investor. This transaction marks the culmination of a successful partnership that began with the acquisition of Axioma in 2019, which provides analytics and risk solutions. It continued through the successful combination of ISS’ leading stewardship and ESG solutions and the STOXX index business in 2023.
The buyout re-confirms Deutsche Börse Group’s strategic vision for ISS STOXX as a premier provider of mission-critical data, analytics, and indices especially for the buy-side. By acquiring the remaining shares, Deutsche Börse Group ensures the operational agility to simplify the implementation of its growth strategy for ISS STOXX and strengthens the go-to-market connectivity within the Group. As previously communicated by Deutsche Börse Group, ISS’ research and advisory offerings will continue to operate under previously established noninterference policies.
As previously communicated, Deutsche Börse Group and General Atlantic have been pursuing a dual track, allowing General Atlantic to exit until 2026. In line with the partnership agreements, today’s transaction allows General Atlantic to sell its shares to Deutsche Börse Group in the absence of a monetization possibility through an IPO. The valuation for this exit is in line with a pre-agreed peer-based multiple approach. The buyout price is set at ~20x times the adjusted EBITDA of ISS STOXX, resulting in a total purchase price consideration of €1.1 billion payable in two tranches. The first tranche of €731 million will become payable in February 2026 and the remaining tranche will be payable in March 2026. Deutsche Börse Group will finance the transaction using available cash and debt financing at hand. The transaction is expected to have a low single-digit accretive effect on the Cash EPS for Deutsche Börse Group in the first year of full ownership. General Atlantic’s exit is expected to become effective at the end of March 2026. Following completion, Deutsche Börse Group expects to maintain its AA- long-term rating at the Deutsche Börse Group level.
Christian Kromann, member of the Executive Board of Deutsche Börse Group, 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."
Gary Retelny, President and CEO of ISS STOXX, said: “General Atlantic has been a constructive partner in building ISS STOXX, and we appreciate their support and insights over the past few years. As we now look forward with Deutsche Börse Group as sole shareholder, our commitment remains unchanged. We will continue to provide clients with objective, high‑quality data, insights and solutions across governance, sustainability, market intelligence and indexing.”
Gabriel Caillaux, Co-President, Global Head of Climate, and Head of EMEA at General Atlantic, said: “We are proud to have supported the development of ISS STOXX over time. The company has established itself as a fully integrated provider of buy-side intelligence, with a broadened and increasingly sophisticated index and analytics platform. We thank Deutsche Börse Group for its partnership and look forward to following ISS STOXX’s continued growth and success in the years ahead.”
