EURONEXT_Registration_Document_2017

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FINANCIAL STATEMENTS

Notes to the Consolidated Financial Statements

Acquired Receivables The fair value of trade and other receivables was €1.0 million and included €0.9 million of trade receivables, which is not materially different to the gross contractual amount. None of the trade receivables have been impaired and it is expected that the full contractual amounts can be collected. Non-controlling Interest The Group has chosen to recognise the non-controlling interest at the proportionate share of the net assets acquired. As such, non- controlling interest on acquisition amounted to €0.4 million (49% of €0.8 million).

Revenue and Profit Contribution From the date of the acquisition, Company Webcast B.V. has contributed €4.3 million of revenue and €0.3 million of net profit to the Group. As the group was able to derive benefits from this investment as from 1 January 2017, the Group’s full year result includes the full year contribution from Company Webcast B.V.

Analysis of Cash flows on Acquisition

2017 (141) (141) (3,600)

In thousands of euros

Acquisition related costs

Included in cash flows from operating activities

Cash consideration

Less: Balances acquired

778

Included in cash flows from investing activities

(2,822) (2,963)

NET CASH FLOWON ACQUISITION

Note 5.2 – Acquisition of iBabs B.V. (1) On 7 July 2017, the Group acquired 60% of the ordinary shares in iBabs B.V., a leading Dutch provider of dematerialised board portal solutions for corporate and public organisations, for a total consideration of €32.1 million. As the use of board portal services is expected to grow significantly over the coming years, the Group has acquired iBabs B.V. to expand the “Euronext’s Corporate Services” offer, into which the iBabs’ solutions will be integrated. The founding management team of iBabs B.V. will remain in place, continuing to grow the business while benefiting from the Group’s reach and expertise with listed companies. Details of the purchase consideration, the net assets acquired and goodwill are reflected in the tables below.

Acquisition Related Costs Acquisition related costs of €0.1 million have been expensed and are included in professional services in profit or loss. Related Transaction of 49% Minority Stake As from 1 January 2020, the Group will be entitled to acquire all shares from the minority shareholders (“call option”). As from the same date, the minority shareholders will be entitled to sell their shares to the Group (“put option”). The call- and put options have similar conditions. Based on a multiple of earnings and the forecasted 2019 EBITDA, the fair value of this transaction consideration is estimated at €8.2 million, for which the Group recorded a redemption liability as a reduction of shareholders’ equity. The liability is presented in other long-term financial liabilities in the balance sheet and subsequent measurement will be through profit or loss (see Note 30).

FAIR VALUE

In thousands of euros

Cash paid

30,106

Purchase consideration finalisation payment accrued (a)

2,020

TOTAL PURCHASE CONSIDERATION 32,126 (a) At reporting date an amount of €2.0 million was recognised in trade and other payables relating to the finalisation of the purchase consideration. This amount was paid in January 2018.

(1) Includes the individually immaterial acquisition of MSI Services B.V.

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2017 REGISTRATION DOCUMENT