01—Abstract
Summary
Summary of the 8-K filed May 11, 2010. Cited figures are marked; the original filing is the authoritative source.
Cboe Global Markets, Inc. (CBOE) announced on May 11, 2010, an amendment to its existing License Agreement with Standard & Poor's Financial Services LLC (S&P), effective April 29, 2010.
This amendment, specifically Amendment No. 11, serves to expand the scope of the license previously granted to CBOE for the use of S&P Indexes. Crucially for investors, the amendment expressly includes any Affiliate of CBOE within the licensing rights. This specifically pertains to C2 Options Exchange, Incorporated ("C2"), a separate securities exchange controlled by CBOE.
This extension ensures that C2 can also leverage the S&P Indexes under the existing agreement, potentially enhancing its product offerings and competitive positioning. The definition of "Affiliate" is detailed, with a specific condition related to third-party ownership of C2's voting securities requiring S&P's consent.
02—Key points
Key Highlights
- Cboe Global Markets, Inc. (CBOE) amended its license agreement with Standard & Poor's Financial Services LLC (S&P) for the use of S&P Indexes.
- The amendment, effective April 29, 2010, expands the license to cover CBOE's Affiliates.
- Specifically, C2 Options Exchange, Incorporated ("C2"), a CBOE-controlled affiliate, is now explicitly included under the license.
- This allows C2 to utilize S&P Indexes, potentially broadening its product suite and market reach.
- The definition of "Affiliate" is clearly defined, including control thresholds and a proviso for third-party ownership of C2.
- The amendment aims to formalize and extend the existing licensing arrangement to a related entity.
03—Questions
Frequently Asked Questions
What is the main purpose of the amendment to the S&P license agreement?
The primary purpose of Amendment No. 11 is to explicitly extend the license granted by S&P to CBOE for the use of S&P Indexes to include any of CBOE's "Affiliates," specifically C2 Options Exchange, Incorporated ("C2"). This allows C2 to also leverage these indexes under the agreement.
How does this amendment impact CBOE's relationship with C2?
The amendment solidifies CBOE's ability to utilize S&P Indexes through its affiliate, C2. This suggests a strategic move to enable C2 to offer products or services that incorporate S&P Indexes, thereby enhancing its operational capabilities and market offerings.
Are there any conditions for C2 to be considered an Affiliate under this amendment?
Yes, C2 is considered an Affiliate as long as it is controlled by, under common control with, or controls CBOE. However, if a single third party (not related to CBOE's control structure) acquires more than 20% of C2's voting securities, C2 will only continue to be deemed an Affiliate if S&P provides written consent, which shall not be unreasonably withheld.
Does this filing include any new financial statements or pro forma information?
No, this specific Form 8-K filing does not include any financial statements, pro forma financial information, or information about shell company transactions. It is solely focused on the material agreement amendment.
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