Euroclear Agrees to Acquire Digital Fund Distribution Platform MFEX

Euroclear​, the financial industry's trusted provider of post trade services, announced that it has agreed to acquire MFEX Group, an independent expert in global fund distribution. The transaction is expected to close in the second half of 2021.

Faced with increasing levels of complexity and cost, fund management companies require an efficient mechanism to access a broad network of end investors in a fragmented marketplace. FundSettle, the platform for automated funds processing and asset servicing offered by Euroclear already streamlines back office processes by delivering a single point of access for order management, settlement and asset servicing, bringing greater efficiencies and cost savings. 

With this transaction, MFEX and Euroclear's complementary businesses are expected to produce significant value through revenue synergies, expanding the client service offering by creating a new funds market utility and a leading global provider of fund services. 

Lieve Mostrey, Chief Executive Officer, Euroclear commented: "We are delighted to sign this agreement to acquire MFEX Group. We expect MFEX's broad fund distribution network, along with its talented people, to be very complementary to Euroclear as we continue to enhance our exceptional service, extend our customer proposition and grow our business."

Jean Devambez, Chief Executive Officer, MFEX Group said: "Over the past years, we have together with Nordic Capital invested in our platform and continued to transform the fund distribution proposition. Euroclear is a great strategic fit for the next stage of our journey. By adding our respective strengths, we will be able to build an even better and stronger solution for fund distribution.”