ICE cuts carrying value of Bakkt investment to ~$400M from $1.5B on impairment

On October 28, 2022, Bakkt Holdings, Inc. (“Bakkt”), an equity method investee of Intercontinental Exchange, Inc. (the “Company”), filed a Current Report on Form 8-K announcing that for the three months ended September 30, 2022, Bakkt will record an estimated impairment loss on goodwill of approximately $1.3 - $1.4 billion and on certain indefinite-lived intangible assets of approximately $150 - $160 million. Following Bakkt’s merger with VPC Impact Acquisition Holdings in October 2021, the Company held an approximate 68% economic interest with a minority voting interest in Bakkt. In connection with Bakkt’s impairment, the Company expects to reduce the carrying value of its investment in Bakkt to approximately $400 million as of September 30, 2022 from $1.5 billion as of June 30, 2022. This non-cash charge will have no impact on the Company’s adjusted earnings for the three- and nine-month periods ended September 30, 2022.