Euronext // 2021 Universal Registration Document

Risk management & Control Structure

Risk Factors

CHANGE AND INTEGRATION MANAGEMENT RISK

Risk Identification and Description

Potential Impact on the Group

The Group’s change agenda is ambitious. It is driven by internally determined programs, including technology transformation aimed at delivering efficiencies and higher performance. External drivers of change and integration include the changing business and regulatory landscape as well as the Group’s inorganic growth strategy. The Company has actively arbitrated in favor of transformation and steady growth and as a result has taken on operational debt that is being continuously addressed. The volume of incoming flow of acquisitions and integration, project developments, and regulatory obligations challenge available resources, thus the level of operational debt may not decrease as quickly as expected leading to additional risk.

The large volume of significant internal programs in progress simultaneously (Core Data Centre migration, Borsa Italiana Optiq® migration and expansion of Euronext Clearing), with related impacts on the Group, that, if not delivered or delivered as originally designed or with delays, may have an adverse impact on the business, culture, reputation and financial condition of the Company, including an increased cost base without a proportionate increase in revenues. Given the significance of potential future integrations when compared with past programs, as well as the continuing need for effective change and integration management, delays in one project may extend beyond the project in question and have a negative cascading effect. Considering the ambition and scale of concurrent initiatives, the Company cannot assure that all internal programs will be delivered as designed or without delays, which may have a negative effect on its business, financial results and reputation. Technology Service Providers While Euronext actively manages its relationships with its key strategic technology suppliers, and includes framework Service Level Agreements to ensure services are guaranteed, should a significant disruption occur, including a discontinuation of services or a service failure, the Group may experience significant disruption to its business and may be subject to, reputational damage litigation by its customers or increased regulatory scrutiny or regulatory fines. Clearing and Settlement Providers To the extent that any of the external clearing, settlement and custodial entities on which Euronext relies for clearing or settlement services experiences difficulties, materially change its business relationship with the Group, or is unable for any reason to perform its obligations, Euronext may suffer negative impacts on its operations, business, reputation, and financial results. Potential Impact on the Group

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THIRD PARTY RISK

Risk Identification and Description

Technology Service Providers Euronext depends on the services if InterContinental Exchange (“ICE”) for the provision of network and colocation and data centre services. Equinix provides the Company with its back up network and data centre service. In 2022, the Group will migrate its Core Data Centre away from ICE’s data centre in Basildon (UK) to Aruba’s data centre, located near Bergamo in Italy, becoming. Aruba will therefore become a critical third party vendor for Euronext. Following the migration, Euronext will provide significant data centre services, with third parties offering complementary network services. There is a risk that if one of the Group’s third party services providers suffer from major or repeated failures, Group operations or services could be interrupted or disrupted and may undermine confidence in the Group, cause reputational damage, lead to customer claims, litigation and/or regulatory action including investigations and sanctions. Euronext depends on Cap Gemini for services related to its Security Operations Centre to assist in ensuring permanent monitoring of its environments. In addition, Euronext depends on Amazon Web Services (“AWS”) for selected post-trade cloud services. Finally, until the complete migration of Borsa Italiana Group entities off of London Stock Exchange Group (LSEG) systems, Borsa Italiana in particular continues to depend on LSEG’s trading platform until the completion of the migration to Optiq. Clearing and Settlement Service Providers In particular, Euronext relies under its clearing service agreements with LCH SA, the Paris based clearing house of LCH group Ltd, which is majority owned by LSEG. Euronext relies on LCH SA to provide Central Counter Party (“CCP”) services for trades executed on the Company’s cash and derivatives markets and to manage related CCP functions (excluding Borsa Italiana), such as risk, novation and multilateral netting. LCH SA together with the Group’s CCP provide clearing for the fixed income instruments (Italian Government Bonds) traded on MTS and BrokerTec platforms via the interoperability link established between the two CCPs. Euronext relies on EuroCCP to provide CCP services for trades executed on the Company’s cash markets and to manage related CCP functions for Euronext Dublin and as an alternative CCP for the other cash markets under the User Choice Model. For the Oslo cash markets, Euronext Oslo relies on three interoperable CCPs: LCH Ltd, Euro CCP & Six X Clear, while the Oslo derivatives markets, Euronext Oslo also relies on LCH SA. The settlement of trades concluded on Euronext trading venues relies on Euronext’s own CSDs but also on third party CSDs, notably Euroclear group (Euroclear) for the French, Belgian and Dutch cash equity markets.

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2021 UNIVERSAL REGISTRATION DOCUMENT