Euronext // 2021 Universal Registration Document

First page Table of contents Next page Last page

INTEGRATED PRESENTATION	2
1. PRESENTATION OF THE GROUP	15
1.1 Company Profile	16
1.1.1 HISTORY	17
1.1.2 AMBITION	17
1.1.3 BUSINESS ENVIRON MENT	18
1.2 Strategy: “Growth for Impact 2024” Strategic Plan	20
1.2.1 “GROWTH FOR IMPACT 2024”, MAPPING A PATH TO BUILD THE LEADING MARKET INFRASTRUCTURE IN EUROPE	20
1.2.2 STRATEGIC TARGETS AND PROSPECTS IN 2022	24
1.3 Description of the Business	24
1.3.1 BUSINESS OVE RVIEW	25
1.3.2 STRENGTHS	26
1.3.3 LISTING	28
1.3.4 TRADING	32
1.3.5 ADVANCED DATA SERVICES	39
1.3.6 INVESTOR SER VICES	41
1.3.7 POST TRADE	41
1.3.8 EURONEXT TECHNOLOGY SOLUTIONS & OTHER	42
1.4 Regulation	43
1.4.1 OVERVIEW	43
1.4.2 EUROPEAN REGULATION	44
1.4.3 OWNERSHIP LIMITATIONS AND ADDITIONAL NOTIFICATION REQUIREMENTS	47
2. RISK MANAGEMENT & CONTROL STRUCTURE	51
2.1 Risk Factors	52
HIERARCHY OF RISK FACTORS	52
RUSSIA / UKRAINE WAR RISK	53
STRATEGIC RISKS	53
OPERATIONAL RISKS	56
FINANCIAL RISKS	59
2.2 Mitigation Measures	61
RUSSIA / UKRAINE WAR RISK	61
STRATEGIC RISKS	61
OPERATIONAL RISKS	61
FINANCIAL RISKS	62
2.3 Control Framework	64
RISK APPROACH AND INTERNAL CONTROL OBJECTIVES	64
ERM FRAMEWORK	64
ERM FRAMEWORK GOVERNANCE	64
2.3.1 FIRST LI NE OF DEFENCE	65
2.3.2 SECOND LINE OF DEFENCE	65
2.3.3 INTERNAL AUDIT – THIRD LINE OF DEFENCE	69
3. EMPOWER SUSTAINABLE FINANCE	71
3.1 Value Creation by Euronext	72
LONG TERM VALUE FOR ALL OUR STAKEHOLDERS	73
3.2 ESG Governance	75
3.3 Relevant standards	76
3.4 Euronext’s five ESG Impact Areas and the Sustainable Development Goals	78
3.4.1 OUR MARKETS	78
3.4.2 OUR PARTNERS	87
3.4.3 OUR PEOPLE	91
3.4.4 OUR SOCIETY	99
3.4.5 OUR ENVIRONMENT	104
3.5 Summary of ESG KPI	105
Glossary and Reporting Criteria	107
4. CORPORATE GOVERNANCE	111
4.1 Dutch Corporate Governance Code, “Comply or explain”	112
4.2 Management Structure	113
4.2.1 GENERAL INFORMATION	113
4.2.2 SUPERVISORY BOARD	114
4.2.3 MANAGING BOARD	119
4.3 Report of the Supervisory Board	126
4.3.1 MEETINGS	126
4.3.2 SUPERVISORY BOARD ATTENDANCE RECORD	127
4.3.3 SUPERVISORY BOARD ACTIVITIES	128
4.3.4 BOARD EVALUATION	128
4.3.5 REPORT AUDIT COMMITTEE	129
4.3.6 REPORT RISK COMMITTEE	129
4.3.7 REPORT REMUNERATION COMMITTEE	129
4.3.8 REPORT NOMINATION AND GOVERNANCE COMMITTEE	129
4.3.9 FINANCIAL STATEMENTS	129
4.4 Remuneration Report of the Remuneration Committee	130
4.4.1 REPORT	130
4.4.2 REMUNERATION PRINCIPLES	132
4.4.3 REMUNERATION COMPONENTS	133
4.4.4 REMUNERATION OF MANAGING BOARD MEMBERS FOR 2021AND PREVIOUS YEARS	141
4.4.5 REMUNERATION OF SUPERVISORY BOARD MEMBERS	144
5. SELECTED HISTORICAL CONSOLIDATED FINANCIAL INFORMATION, OTHER FINANCIAL INFORMATION AND UNAUDITED “PRO FORMA” COMBINED FINANCIAL INFORMATION	147
5.1 Selected Historical Consolidated Financial Information	149
SELECTED CONSOLIDATED INCOME STATEMENT DATA	149
SELECTED CONSOLIDATED BALANCE SHEET DATA	150
SELECTED STATEMENT OF CASH FLOWS DATA	151
5.2 Other Financial Information	151
NON-IFRS FINANCIAL MEASURES	151
RECONCILIATION OF EBITDA, EBITDA MARGIN, EXCEPTIONAL ITEMS, OPERATING PROFIT BEFORE EXCEPTIONAL ITEMS, EBITDA TO NET OPERATING CASH FLOW AND NET DEBT TO EBITDA RATIO	153
RECONCILIATION OF FREE CASH FLOW AND CAPITAL EXPENDITURES	153
RECONCILIATION OF ADJUSTED NET INCOME AND ADJUSTED EPS	153
5.3 Unaudited “pro forma” Combined Financial Information	154
5.3.1 INTRODUCTION	154
5.3.2 BASIS OF PREPARATION	154
5.3.3 UNAUDITED “PRO FORMA” COMBINED STATEMENT OF PROFIT OR LOSS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2021	155
5.3.4 NOTES TO THE UNAUDITED “PRO FORMA” COMBINED FINANCIAL INFORMATION	156
5.4 Assurance R eport of the I ndependent A uditor	159
OUR OPINION	159
BASIS FOR OUR OPINION	159
APPLICABLE CRITERIA	159
RELEVANT MATTERS RELATING TO THE SCOPE OF OUR EXAMINATION	159
RESTRICTION ON USE	160
RESPONSIBILITIES OF THE MANAGING BOARD FOR THE UNAUDITED PRO FORMA COMBINED FINANCIAL INFORMATION	160
OUR RESPONSIBILITIES FOR THE EXAMINATION OF THE COMPILATION OF THE UNAUDITED PRO FORMA COMBINED FINANCIAL INFORMATION	160
6. GENERAL DESCRIPTION OF THE COMPANY AND ITS SHARE CAPITAL	163
6.1 Legal Information on the Company	164
6.1.1 EUROPEAN REGULATION	164
6.1.2 CORPORATE OBJECTS	164
6.2 Share Capital	164
6.2.1 AUTHORISED AND ISSUED SHARE CAPITAL	164
6.2.2 ISSU E OF SHARES	164
6.2.3 PRE- EMPTION RIGHTS	165
6.2.4 ACQUISITION OF SHARES IN EURONEXT’S CAPITAL	165
6.2.5 REDUCTION OF SHARE CAPITAL	166
6.3 Shareholder Structure	166
6.4 Share Classes and Major Shareholders	166
6.4.1 REFERENCE SHAREHOLDERS	166
6.4.2 MAJOR SHAREHOLDINGS	169
6.5 General Meeting of Shareholders and Voting Rights	171
6.6 Anti-Takeover Provisions	172
6.7 Obligations of Shareholders and Members of the Managing Board to Disclose Holdings	172
6.8 Short Positions	173
6.9 Market Abuse Regime	173
6.10 Transparency Directive	174
6.11 Dutch Financial Reporting Supervision Act	174
6.12 Dividends and other Distributions	174
6.13 Financial Calendar	175
7. OPERATING AND FINANCIAL REVIEW	177
7.1 Overview	178
7.1.1 DEFINITIONS	178
7.1.2 ESTABLISHMENT OF EURONEXT AS AN INDEPENDENT, PUBLICLY TRADED COMPANY	178
7.1.3 SOURCES OF REVENUES	178
7.1.4 COMPONEN TS OF EXPENSES	181
7.1.5 KEY FACTORS AFFECTING BUSINESSES AND RESULTS OF OPERATIONS	181
7.1.6 GOODWILL	186
7.1.7 FINANCIAL AND TRADING POSITION	187
7.1.8 RESULTS OF OPERATIONS	187
7.1.9 BALANCE SHEET	197
7.1.10 CASH FLOW	199
7.1.11 FACILITIES AGREEMENTS AND BONDS	200
7.1.12 CONTRACTUAL OBLIGATIONS	202
7.1.13 OFF-BALANCE SHEET ARRANGEMENTS	202
7.1.14 QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK	202
7.1.15 SIGNIFICANT ACCOUNTING POLICIES	206
7.1.16 CRITICAL ACCOUNTING ESTIMATES AND JUDGMENTS	206
7.2 Material Contracts and Related Party Transactions	209
7.2.1 MATERIAL CONTRACTS	209
7.2.2 RELATED PARTY TRANSACTIONS	209
7.3 Legal Proceedings	211
EURONEXT AMSTERDAM PENSION FUND	211
7.4 Insurance	212
7.5 Liquidity and Capital Resources	213
7.5.1 LIQUIDITY	213
7.5.2 CONSOLIDATED REGULATORY CAPITAL REQUIREMENTS	213
7.6 Tangible Fixed Assets	215
PRINCIPAL PROPERTIES	215
8. FINANCIAL STATEMENTS	217
8.1 Consolidated Statement of Profit or Loss	218
8.2 Consolidated Statement of Comprehensive Income	219
8.3 Consolidated Balance Sheet	220
8.4 Consolidated Statement of cash flows	221
8.5 Consolidated Statement of Changes in Equity	222
8.6 Notes to the Consolidated Financial Statements	223
9. OTHER INFORMATION	311
Profit Appropriation Section	312
Independent Auditor’s Report	312
REPORT ON THE AUDIT OF THE FINANCIAL STATEMENTS 2021 INCLUDED IN THE UNIVERSAL REGISTRATION DOCUMENT	312
INFORMATION IN SUPPORT OF OUR OPINION	313
REPORT ON OTHER INFORMATION INCLUDED IN THE UNIVERSAL REGISTRATION DOCUMENT	317
REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS AND ESEF	317
DESCRIPTION OF RESPONSIBILITIES REGARDING THE FINANCIAL STATEMENTS	318
Assurance Report of the Independent Auditor on selected non-financial information	319
BASIS FOR OUR CONCLUSION	319
REPORTING CRITERIA	319
UNASSURED CORRESPONDING INFORMATION	319
LIMITATIONS TO THE SCOPE OF OUR ASSURANCE ENGAGEMENT	320
RESPONSIBILITIES OF THE MANAGING BOARD AND THE SUPERVISORY BOARD FOR THE SELECTED NON-FINANCIAL KPIS	320
OUR RESPONSIBILITIES FOR THE ASSURANCE ENGAGEMENT ON THE SELECTED NON-FINANCIAL KPIS	320
GLOSSARY, CONCORDANCE TABLES	323

Made with FlippingBook - Online Brochure Maker