Case Study: LIFFE
Increasing an Exchange’s Value
Situation
- Conducted 24-month investigation/research into the market opportunity and competitive landscape in regulated exchanges
- Pursued LIFFE — trading financial futures and options contracts — second largest regulated exchange in Europe; profitable, publicly-traded entity with $200M in revenue
- Determined value could be substantially increased based on corporate structure, technology assets, management and market expertise
The Battery Difference
- Augmented executive team, including members of the technology management team, key to deriving value from the exchange
- Provided guidance on how to appropriately restructure the business to maximize shareholder value
- Intimately involved in facilitating strategic alliances, including the joint venture with NASDAQ
- Supported and guided new product development, such as single stock futures
Result
- Acquired by Euronext for more than $800 million
- 3.5X increase in value in just 12 months
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