Why Didn’t Euronext Make An Offer To Buy Allfunds?
Euronext’s €5.5 billion withdrawal from All funds ’ B2B wealthtech platform is confusing. The takeover plan was first made public last week, after rumors in the press that a bid was about to be made. The unsolicited proposal for All funds ’ full issued and existing share capital was €8.75, consisting of €5.69 in cash and 0.04059 new Euronext shares. The price was 19% higher than the last closing price. The bid sent the price of the exchange operator’s shares into a tailspin, and they lost 10% of their value over the next six sessions. All funds shares, on the other hand, went up 13% and reached €5.2 billion. Euronext says it dropped the bid after performing due diligence, an explanation rejected by Allfunds, which claims to have put the brakes on after concluding that Euronext’s terms were “inadequate”. Euronext said that Allfunds had not turned them down. No matter what the reason was, the markets responded by reversin...