Avaloq completes Derivative Partners acquisition
Swiss banking software firm Avaloq has completed its acquisition of compatriot firm Derivative Partners.
The acquired firm provides market information, tools, research and calculations for complex financial products for clients in Switzerland and the rest of Europe.
Financial details for the deal, which was first announced in July, have not been disclosed. Avaloq has acquired 100% of the Zurich-based firm, with Derivative Partners remaining an independent company for the time being.
Derivative Partners was founded in 2000. It claims more than 40 market participants as customers, including issuers, private banks, asset managers and exchanges with valuations of option-linked securities and complex financial products.
“We are delighted to have closed this significant acquisition, and I would like to thank the team at Derivative Partners for their utmost professionalism throughout the process,” says Juerg Hunziker, Avaloq’s group CEO.
“We are truly delighted to welcome them into the Avaloq Community, with our clients set to benefit from the firm’s extensive consulting capabilities and unparalleled know-how around structured products.”
Earlier this month Reuters reported that Avaloq had been laying the groundwork for a potential IPO or 2020 sale.
Avaloq’s private equity shareholder Warburg Pincus is keen to seek an exit from the Swiss firm. It currently owns 45% of the vendor’s shares and could seek an auction as early as 2020. Warburg Pincus acquired its stake in March 2017, at that time grabbing 35% in a deal valuing Avaloq at $1.1 billion.