Deutsche Börse Group has signed an agreement on the recommended acquisition of Allfunds, with each shareholder receiving EU 8.80 per share.
The shareholders will receive EUR 6 per Allfunds share, which will be delivered in cash, EUR 2.60 in Deutsche Börse Group shares, and a EUR 0.20 permitted dividend. Additionally, shareholders will also be entitled to receive certain further permitted dividends in respect of subsequent financial periods.
Key insights into the acquisition
The proposed acquisition values Allfunds at EUR 5.3 billion, representing a premium of 32.5% to the closing share price of EUR 6.64 in November 2025 and a 40.3% premium on the three-month volume weighted average of EUR 6.27. The transaction will happen through a UK court-sanctioned scheme of arrangement, requiring approval from a majority of shareholders representing at least 75% of the value of shares. Allfunds’ Board unanimously supports the deal and will recommend that shareholders vote in favour.
Meanwhile, Deutsche Börse Group has received backing from shareholders, with irrevocable undertakings covering approximately 48.9% of Allfunds’ issued share capital.
The acquisition aims to create a global fund services provider, leveraging Allfunds’ expertise in fund distribution and Deutsche Börse Group’s Clearstream capabilities in custody and settlement. The two companies are complementary when it comes to their offerings, clients, geographic reach, and partnerships, positioning the merger to benefit from long-term growth.
The initiative also supports European policy goals, including the Savings and Investments Union, by making it easy for retail investors to access a broader range of investment funds. This improved choice, efficiency, and connectivity across European capital markets, while also having global reach.
Deutsche Börse Group projects annual pre-tax cost synergies to be around EUR 60 million, alongside annual capital expenditure savings of approximately EUR 30 million. Around 50% of these synergies are expected to be delivered by the end of 2028 through a unified operating model, simplified IT and regulatory structures, as well as improved central functions.
The acquisition is projected to be earnings-accretive, meaning that it delivers high single-digit growth to Deutsche Börse Group’s cash EPS in the first full year after completion, while maintaining its AA- credit rating. The funds are fully secured, and a EUR 500 million share buy-back programme will commence in 2026. The whole initiative is subject to regulatory approvals, and completion is expected in H1 2027.
