Euronext - 2019 Universal Registration Document

Financial Statements 8

Consolidated Statement of Changes in Equity

Changes in the Group’s Key Management Personnel During 2019 At the Annual General Meeting held on 16 May 2019, Isabel Ucha was officially appointed as a member of the Managing Board. On 20 August 2019, the Group announced that Maurice van Tilburg resigned from the Managing Board. Simone Huis in ’t Veld was appointed as his successor at the Extraordinary General Meeting (EGM) that took place on 8 October 2019. At that same meeting Håvard Abrahamsen was officially appointed as a member of the Managing Board. On 29 January 2020, Euronext announced that Håvard Abrahamsen resigned from his role as member of the Managing Board of Euronext N.V. The Supervisory Board of Euronext N.V. has subsequently nominated Øivind Amundsen as member of the Managing Board of Euronext N.V., subject to formal appointment by an Annual Shareholders’ Meeting of Euronext N.V. and the usual regulatory non-objections. Immediately after the Annual General Meeting (AGM) held on 16 May 2019, Ramon Fernandez stepped down from the Supervisory Board. At the Extraordinary General Meeting (EGM) that took place on 8 October 2019, Nathalie Rachou and Morten Thorsrud were officially appointed as members of the Supervisory Board. See Note 36, for more details on the Group’s key management personnel. (i) Subsidiaries Subsidiaries are all entities controlled by the Group. The Group controls an entity when the Group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity. Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are deconsolidated from the date that control ceases. The acquisition method of accounting is used to account for business combinations by the Group. Intergroup transactions, balances and unrealised gains and losses on transactions between companies within the Group are eliminated upon consolidation unless they provide evidence of impairment. Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the Group. Non-controlling interest in the results and equity of subsidiaries are shown separately in the consolidated statement or profit or loss, statement of comprehensive income, statement of changes in equity and balance sheet respectively. (ii) Associates and joint arrangements Associates are entities over which the Group has the ability to exercise significant influence, but does not control. Generally, significant influence is presumed to exist when the Group holds 20% to 50% of the voting rights in an entity. Joint arrangements are joint operations or joint-ventures over which the Group, together with

in Europe, operating from its headquarters in Oslo and offices in Helsinki, Stockholm, Tallinn, Berlin and London. The enterprise value on a debt-free cash-free basis for 100% is NOK850 million (€84 million). The Nordic and Baltic Transmission System Operators (TSOs) that currently own Nord Pool Group, will retain a 34% stake. The transaction was subject to competition approvals and was closed on 15 January 2020. For more details on the acquisition, reference is made to Note 40 “Events after the reporting period”. Sale of Investment in Associate EuroCCP On 10 December 2019, Euronext announced that it entered into a binding agreement to sell its 20%minority stake in EuroCCP to CBOE Global Markets, alongside the other current EuroCCP shareholders. The transaction is expected to close in the first half of 2020, subject to receipt of required regulatory clearances and the arrangement of a supporting liquidity facility at the EuroCCP clearing entity level. The Group expects to receive net proceeds of approximately €8.8 million from the sale of its minority stake. As a result of this agreement, the Group impaired the value of its investment by approximately €6.0 million, and classified the investment as an asset held for sale as per 31 December 2019. The significant accounting policies applied in the preparation of these Consolidated Financial Statements are set out below. These policies have been consistently applied to all the years presented, unless stated otherwise. The Financial Statements are for the Group consisting of Euronext N.V. and its subsidiaries. A. Basis of Preparation The Consolidated Financial Statements of the Group have been prepared in accordance with International Financial Reporting Standards (IFRS) adopted by the European Union. They also comply with the financial reporting requirements included in Title 9 Book 2 of the Dutch Civil Code, as far as applicable. The Consolidated Financial Statements have been prepared on a historical cost basis, unless stated otherwise. B. Basis of Consolidation These Consolidated Financial Statements include the financial results of all subsidiaries in which entities in the Group have a controlling financial interest and it also incorporates the share of results from associates and joint ventures. The list of individual legal entities which together form the Group, is provided in Note 4. All transactions and balances between subsidiaries have been eliminated on consolidation. All transactions and balances with associates and joint ventures are reflected as related party transactions and balances (see Note 36). NOTE 3

SIGNIFICANT ACCOUNTING POLICIES AND JUDGMENTS

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2019 UNIVERSAL REGISTRATION DOCUMENT