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Atos Origin and NYSE Euronext Announce Agreement in Principle on AEMS Joint Venture
Publish Date : 12/12/2007 6:07:00 AM   Source : IT and Management News Onlypunjab.com

Atos Origin (Euronext Paris: ATO), an international IT services company, and NYSE Euronext (NYSE Euronext: NYX) today announced their agreement in principle for NYSE Euronext to acquire the 50% stake in AtosEuronext Market Solutions (AEMS) owned by Atos Origin.

Upon successful completion of this transaction and subject to the prior information and consultation of all relevant employee representative bodies, NYSE Euronext would re-acquire ownership of the NSC cash trading and LIFFE CONNECT® derivatives trading platform technology and all of the management and development services surrounding these platforms as well as AEMS’s third-party exchange technology business. Atos Origin would acquire the third-party Clearing & Settlement and Capital Markets businesses from AEMS.

Such transactions would result in a payment of €275 million (US$400 million) from NYSE Euronext to Atos Origin1 and of €20 million (US$29 million) from Atos Origin to AEMS.

This agreement in principle follows a longstanding, successful relationship between Atos Origin and Euronext, and allows the two companies to focus on their core businesses, given recent trends in their respective industries. Both parties will extend their historical relationship, Atos Origin becoming NYSE Euronext’s preferred supplier in integration and outsourcing IT services.

It is expected that the contemplated re-integration of the technology businesses within Atos Origin and NYSE Euronext will be completed by the end of the summer in 2008.

Philippe Germond, Chief Executive Officer of Atos Origin said, “The agreement is very satisfactory for both parties, which will run IT activities that are core to their respective business. Atos Origin can thus turn to the future and pursue its strategy going forward to reinforce the company in businesses such as payment services in Europe where Atos Origin believes it has a role to play in the future.”

Jean-François Théodore, Deputy Chief Executive Officer of NYSE Euronext said, “Insourcing our technology gives us greater flexibility and a competitive advantage in a fast-moving exchange landscape where technology is key. Bringing the expertise of a large number of highly skilled IT personnel back in-house will enable us to better deliver on our commitments to provide our customers with more efficient trading services and to deliver IT synergies to our shareholders. We will also be able to continue our strategy of selling our state-of-the-art trading platforms to more exchanges around the world.”

About NYSE-Euronext

NYSE Euronext, a holding company created by the combination of NYSE Group, Inc. and Euronext N.V., commenced trading on April 4, 2007. NYSE Euronext (NYSE Euronext: NYX) operates the world’s largest and most liquid exchange group and offers the most diverse array of financial products and services. NYSE Euronext, which brings together six cash equities exchanges in five countries and six derivatives exchanges in six countries, is a world leader for listings, trading in cash equities, equity and interest rate derivatives, bonds and the distribution of market data. Representing a combined $30.3 trillion/€21.3 trillion total market capitalization of listed companies and average daily trading value of approximately $139 billion/€103 billion (as of September 30, 2007), NYSE Euronext seeks to provide the highest standards of market quality and integrity, innovative products and services to investors, issuers, and all users of its markets.

About Atos Origin

Atos Origin is an international information technology services company. Its business is turning client vision into results through the application of Consulting, Systems Integration and Managed Operations. The Company’s annual revenues are €5.4 billion and it employs 50,000 people in 40 countries. Atos Origin is the Worldwide Information Technology Partner for the Olympic Games and has a client base of international blue-chip companies across all sectors. Atos Origin is quoted on Euronext Paris and trades as Atos Origin, Atos Euronext Market Solutions, Atos Worldline and Atos Consulting.

For further information please consult the company’s website at: http://www.atosorigin.com

About AtosEuronext Market Solutions

Formed in 2005 through a joint venture between Atos Origin and Euronext, a subsidiary of NYSE Euronext, AtosEuronext Market Solutions (AEMS) is a leading global provider of IT solutions for exchanges, clearing houses, banks and intermediaries through its Exchange, Capital Markets, and Clearing & Settlement business units. For the fiscal year ended 31 December, 2007, AEMS is expected to generate total revenues of approximately €320-€340 million (US$465-US$495 million), with the Exchange business representing €210-€220 million (US$305-US$320 million) of this total, which includes revenues from existing Euronext contracts of approximately €150 million (US$220 million). The Exchange business unit currently has approximately 600 employees.



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