In October 2024, Euronext acquired Acupay and its sister company, BondCom, integrating them into the Euronext Securities family. The companies’ expertise in identifying investors for tax relief, tax compliance and liability management aligns with Euronext Securities' ambition to become the preferred CSD for European capital markets.
A legacy of innovation
Acupay and BondCom both trace their origins to a firm founded in New York in 1986. Acupay specialises in technology-driven solutions for global tax relief at source, tax reclaim services, and tax compliance on cross-border bonds. BondCom is a global leader in bondholder initiatives, including consent solicitations, tender and exchange offers, and complex restructurings.
BondCom was established in the mid-1990s to enhance bondholder communication, a crucial aspect of liability management. Over the past two decades, it has helped issuers in 51 countries engage with bondholders across over 21,000 ISINs, representing US $1.8 trillion in bonds.
Acupay emerged in 2005 to address Spain’s new tax compliance requirements, rapidly expanding into a leading global tax compliance and reclaim agent. To date, it has processed over US $346 billion in cross-border securities, serving 720 custodian banks and 1.1 million investors across 180 countries.
The combined expertise of Acupay and BondCom played a pivotal role in Greece’s historic US $270 billion sovereign debt restructuring in 2012.
Proximity to CSDs
In 2010, Acupay partnered with the Italian CSD, the predecessor of Euronext Securities Milan, to develop an innovative bond structure, enabling Italian issuers to access cross-border capital markets more efficiently.
The collaboration continued in 2016, when Acupay developed the TPS solution for the Italian CSD streamlining tax processing through real-time transaction management, tax computation, and documentation handling. This innovation helped Euronext Securities expand its services and attract non-resident intermediaries.
Advancing tax services at Euronext Securities
A key objective in Euronext’s Innovate for Growth 2027 strategy is to position Euronext Securities as the CSD of choice for European capital markets. Supporting investors, custodians, and issuers with harmonized tax services is fundamental to achieving this ambition. Acupay, with BondCom, will play a key role, bringing advanced technology, robust operational capabilities, and deep market expertise.
Expanding tax services for investors, custodians, and issuers
Euronext Securities already offers a broad range of tax solutions, including:
- Annual and monthly tax reporting
- FATCA and CRS reporting
- Financial transaction tax
- Tax intelligence and advisory services
Meanwhile, Acupay specialises in technology providing broad solutions related to:
- global tax relief at source
- international tax reclaim services
- tax compliance on cross-border bonds
Together, these services enable seamless market access for issuers while simplifying tax processes for custodians and investors.
The five pillars of Euronext Securities’ tax strategy
Euronext Securities’ new tax strategy has been developed collaboratively by the CSDs and Acupay teams. It is built on five key pillars that will drive the expansion and enhancement of tax services:
- CSD convergence – modernising legacy systems and unifying the tax product portfolio across markets via common platforms
- European Expansion – developing the necessary tax services to support issuance and trading from other Euronext markets, Belgium, France, and the Netherlands
- Global market access – replicating the success of Italy’s Yankee bond and ADR programmes by creating new cross-border tax solutions for issuers
- Legislative & market alignment – adapting to regulatory changes, such as the EU’s FASTER Directive, to improve withholding tax procedures while ensuring compliance and service enhancement
- Tax relief for investors – integrating the first four pillars to streamline cross-border tax relief and recovery, ensuring investors who use Euronext Securities for the custody of their equities, bonds, and ETFs receive their full entitlements efficiently
These five pillars reinforce Euronext Securities’ commitment to harmonising tax services across Europe. The goal is to continue streamlining back-office tax processes, removing barriers that investors encounter when accessing European capital markets.
By combining the expertise and innovative technology of Acupay and BondCom with its existing established products, Euronext Securities will be able to redefine tax services in European capital markets to remove barriers, enhance investor confidence, and drive sustainable growth for issuers, custodians and investors.
Authors:
Inessa Collier, Business Development Lead
Stef Lambersy, CEO, Acupay and BondCom
Kristine Bastøe, CEO, Euronext Securities Oslo and Head of ES Services, Products