Cboe Global Markets, Inc. today announced a strategic realignment of its business portfolio following comprehensive review.
As a result of its business review, the Cboe is beginning a sales process for Cboe Australia and Cboe Canada, exiting U.S. and European Corporate Listings, and reducing costs related to its U.S. and European ETP Listings businesses, Cboe Europe Derivatives, and several of its smaller Risk and Market Analytics businesses.
Cboe determined that these decisions will better position the Company to accelerate its core businesses and act decisively on emerging opportunities that align with its strengths.
The company anticipates that these actions will have an immaterial impact on 2025 total organic net revenue growth2 and adjusted operating expense guidance. The company estimates that the annualized run-rate impact of its business review decisions – inclusive of its previously announced wind down of Cboe’s Japanese equities business – will result in a roughly 3% reduction in net revenue and an approximate 8-10% reduction in adjusted operating expenses, using the 2025 guided ranges as a baseline.
“This strategic realignment of our business portfolio and human capital ensures Cboe is well positioned to succeed in a dynamic and evolving market and supports our long-term vision to be a global derivatives leader. With strong momentum, as demonstrated from our results this year, and a clear direction, we’re confident in our ability to drive transformative growth and long-term value for shareholders,” said Craig Donohue, Cboe Global Markets Chief Executive Officer.
“Our Australian and Canadian equities businesses have consistently performed well and earned a reputation for innovation, reliability, and customer service. We believe these businesses are well positioned for future growth under new ownership,” said Chris Isaacson, Cboe Global Markets Executive Vice President, Chief Operating Officer. “Cboe Australia and Cboe Canada have benefited greatly from a supportive regulatory environment, and we’re grateful to these regulators for fostering competition. We will work closely with regulators and customers in both countries to ensure a successful transition.”
