Deutsche Boerse’s settlement arm Clearstream has expanded its offering ‎in the funds space by acquiring Swisscanto Funds Centre, the UK ‎subsidiary of Zurich-based financial group Swisscanto.‎ Clearstream, a provider of post-trade services for financial ‎services participants, agreed to buy 100 percent of SFCL business ‎from Zürcher Kantonalbank. Deutsche Börse-owned international central securities depository has paid a sum in “the high double digit million ‎euro range”, the company said in a statement on Monday. Join the iFX EXPO Asia and discover your gateway to the Asian Markets No further ‎financial details of the transaction were disclosed.‎ If Time is Money, Why Don’t Funds Move Fast Enough for Traders?Go to article >> Under the terms of the deal, all London-based employees of SFCL will ‎transfer to Clearstream, doubling the size of the settlement company’s ‎fund division. As part of the deal, Clearstream will also ‎license SFCL products and extend its services to its international ‎customers.‎ Clearstream will ensure the takeover takes place in a gradual ‎way in order to ensure a smooth transition and confirmed the ‎transaction will not affect the service for SFCL existing customers on ‎both investor and fund promoter side.‎ Mark O’Brien, CEO at Swisscanto Funds Centre Ltd., commented: “Thanks ‎to the acquisition by Clearstream, SFCL will be able to boost growth ‎and generate the necessary economies of scale. Bundling volumes, ‎tapping into new markets, and incorporating the fund platform business ‎into Clearstream’s post-trading product range provides us with new ‎opportunities. The SFCL team is looking forward to offering existing ‎and new clients an even more comprehensive range of services.”‎ Philippe Seyll, Co-CEO of Clearstream, added: “We always look for ‎strategic opportunities to further enhance our offering to the market. ‎The knowhow we acquire from SFCL in areas such as distribution ‎contract management, data management and dissemination, combined ‎with our expertise in funds processing will enable us to provide our ‎clients with new value-adding services. This further bolsters our strong ‎position in the funds space.”‎
The post-trade settlement arm of German financial markets provider Deutsche Boerse, Clearstream, has acquired Swisscanto's UK-based Funds Centre from current owner Zürcher Kantonalbank. The sale, for an undisclosed sum, will involve all Swisscanto Fund Centre's London staff transferring to Clearstream. Clearstream is a subsidiary of the Swiss bank UBS AG and was founded in 2000.