Euronext and Atos Origin extend IT services JV
27 July 2005 | 6991 views | 0
Pan-European exchange Euronext and French IT services firm Atos Origin have detailed plans for the merger of the AtosEuronext joint venture with the Euronext.Liffe Market Solutions business.
Atos Origin says it will contribute market-related businesses to the new venture, including middle and back office technology, along with its 50% stake in Bourse Connect.
The company says no cash willl be exchanged since the contributions of the parties are equally weighted.
The new venture, called Atos Euronext Market Solutions, is expected to have annual revenues of more than EUR350 million at the outset, with services provided directly to Euronext making up less than a half of that total.
The expanded JV will continue to be owned 50/50 by the parties and will be headed by Jean-Marc Bouhelier, formerly chief information officer of Euronext.Liffe, who will become chief executive and chairman of the management board.
Atos Origin says the expansion of the partnership will contribute additional revenue of EUR 150 million on a full-year-basis, with Euronext and a range of other clients.
The news comes as the French firm reports revenues of EUR2725m for the six months to 30 June, an 8.1% increase in organic sales compared the equivalent period last year.
For the full year, Atos Origin says it expects to achieve organic revenue growth of at least eight per cent in 2005 on a constant scope and exchange rate basis, taking into account the expansion of its joint venture with Euronext.