Tue, Jun 10, 2014 5:35 PM EDT 2:38
ICE, formerly known as the Intercontinental Exchange, says it plans to spin-off its Euronext division in late June. The initial public offering would likely value Euronext at around $2.4 billion. The Deal's Renee Cordes says a big reason behind the offering was to appease regulators concerned about ICE having to much of a transatlantic powerhouse in the exchanges sector. Cordes also says the offering removes the possibility of the exchange being an M&A target. Once the spinoff is complete, it will be the first time Euronext will be independent in seven years. Cordes says there will likely be a lot of interest from investors to buy shares of the company but one risk factor could be competition from other exchange industry players.