Wolters Kluwer to divest Finance, Risk and Regulatory Reporting unit to Regnology Group GmbH for €450 million, under a binding agreement announced July 21, 2025. This strategic transaction will enable Wolters Kluwer to sharpen its focus on U.S. banking compliance and corporate legal services.
The deal remains subject to regulatory approvals and employee consultations and is expected to finalise in autumn 2025. The Finance, Risk and Regulatory Reporting (FRR) unit accounted for €123 million in revenue in 2024, approximately 10% of the Financial & Corporate Compliance (FCC) division’s total.
Strategic divestment enhances core business focus
The divestment represents a calculated reallocation of resources. By exiting the FRR segment, Wolters Kluwer can reinforce its competitive positioning in core areas of regulatory and legal technology in the U.S. market. The group anticipates recognising a non-benchmark capital gain on completion.
Lisa Nelson, CEO of Wolters Kluwer FCC, commented:
“Regnology offers a strong strategic fit for FRR, given its 30-year track record in regulatory technology. This move will allow us to invest further in high-growth segments.”
Regnology to integrate FRR for global expansion
Regnology Group GmbH will acquire the FRR business to bolster its capabilities in unified regulatory, finance, and risk reporting solutions. CEO Rob Mackay welcomed the acquisition, stating:
“FRR’s domain expertise and international presence align perfectly with our vision. We aim to create broader, integrated solutions for complex data-driven regulatory demands.”
The FRR unit has recently made significant investments to upgrade its platform in response to regulatory reforms, including Basel IV. While these investments impacted short-term margins, they enhanced long-term scalability and compliance readiness.
Transaction details and financial implications
Until closing, FRR will remain consolidated within Wolters Kluwer’s FCC division. Net proceeds, post-tax, will be allocated following deal completion. The €450 million enterprise value equates to approximately 3.7x 2024 revenues, reflecting a strong valuation amid robust industry demand for RegTech solutions.
About the companies
Wolters Kluwer (EURONEXT: WKL) is a global provider of professional information, software, and services, with 2024 revenues of €5.9 billion. The group operates in over 40 countries and serves clients in more than 180 jurisdictions.
Regnology Group GmbH, a specialist in data-driven regulatory and supervisory technology, continues to expand globally. This acquisition marks a pivotal step in scaling its comprehensive suite of RegTech solutions.
