Paris, Luxembourg, 17 December 2021. eppf Group, an independent capital-markets-as-a-service provider with a fully digitalised and automated financial infrastructure and securitisation vehicle established under Luxembourg law, has entered into an agreement with NowCP majority shareholder Orange and minority shareholders on the acquisition of a controlling stake of NowCP. NowCP is the leading and only European regulated marketplace for primary commercial paper (CP) issuance. The transaction is expected to be completed in Q1/2022, subject to regulatory approval.
The joint offering of eppf and NowCP will span the entire value chain of bond issuance. It provides issuers with the full value chain of financial instruments from the short-end commercial paper to long-dated bonds in a fully automated manner and a marketplace as primary and, for CP, also secondary market trading venues.
NowCP’s other shareholders – such as Amundi, Crédit Agricole CIB, Natixis, S2iEM – together with Orange will remain as minority shareholders invested in the joint company supporting the expanded platform.
Robert Koller, CEO and founder of eppf, said: “We are extremely excited to welcome NowCP and its team to the eppf family. This will allow us to build the first global primary debt market, regulated to the highest standards, and to provide our clients a fully digital and integrated value chain for CP, bonds and other financial instruments such as loans, Euro Private Placement and Schuldscheine. It also confirms eppf and NowCP as the only European, neutral platform supported by a broad base of banks and other financial institutions. Finally, we would like to thank Orange, the other NowCP shareholders, their teams and advisers for making this transaction possible. The combined group is looking very much forward to working with our new stakeholders and clients.”
Jerome Berger, Chairman of NowCP: “Together with the founding shareholders, Orange was able to leverage its technological know-how and create a benchmark digital market by launching NowCP. eppf is the ideal partner to extend the original vision. The clients of eppf / NowCP will benefit from an unparalleled range of services on fixed income markets.”
Hervé Labbé, CEO of NowCP, added: “The investment of eppf into NowCP is a natural step: our two companies share the same vision of regulated finance as a service to market participants. This transaction is also a contribution to the realisation of a capital markets union. This combination will enable us to offer all our NowCP clients a comprehensive digital financing solution, from commercial paper to bonds, including private placements and syndicated transactions on an intermediated basis. New services for dealers & bookrunners will be launched in the near future on our MTF, allowing all players to trade in a more transparent and secure environment.”
Legal advisers to eppf Group: Simmons & Simmons Luxembourg LLP, led by partner Louis-Mael Cogis
Legal advisers to Orange: White & Case LLP, led by partner Guillaume Valat
M&A advisers eppf Group: Stout Park Ltd., led by MD Santiago Izaguirre
M&A advisers Orange: Gimar & Cie SCA, led by advisor Francois Barthelemy
eppf provides the first and only end-to-end digital solution, where the company offers established issuers with a digital transaction workflow, or, in the case of new entrants, with a CMaaS (Capital Markets as a Service) funding “subsidiary” using standardised documentation. In this way, the eppf solution is relevant for both big and small companies and provides improved harmonisation of capital markets in a MiFID2 and CMU compliant environment without media breaks.
eppf Group consists of several entities, including eppf S.A. which is a securitisation vehicle established under Luxembourg law and supervised by the Commission de Surveillance du Secteur Financier. For further information, visit www.eppf.eu
NowCP, the European marketplace for commercial paper, is an issuing and trading platform for short term debt. NowCP is licensed by the AMF and the ACPR, which allows members to trade on the primary and secondary markets, bilaterally or multilaterally and through intermediaries.
NowCP greatly improves the fluidity of transactions by digitalizing the entire front office process with STP integration to its member’s IT systems. NowCP also offers STP settlement solutions through Euroclear with automatic ISIN. For further information, visit www.nowcp.eu