Canada's TMX Group, which operates the Toronto Stock Exchange, the Montreal Exchange and the TSX Venture Exchange, confirmed on Tuesday that it is in "advanced discussions" with the London Stock Exchange on a potential merger.
The group issued a statement, describing the deal as "a possible merger of equals to create an international exchange leader", following media reports, including in the Financial Times and the Telegraph.
The TSX and TSX-V already have more mining listings than any other exchange, and a merger with the LSE would add top global players including the world's number-one and -three mining groups, BHP Billiton and Rio Tinto.
"Current discussions contemplate an exchange ratio close to the current market capitalization of London Stock Exchange Group plc and TMX Group Inc," the TMX said.
"It is currently contemplated that the executive management and senior leadership of the merged group will be drawn from a balance of leaders from both organisations."
The merged group would be co-headquartered in London and Toronto and continue to be overseen by its existing regulatory authorities, the statement said. The TMX said it would not comment further.
The LSE would use its Toronto-listed secondary shares to acquire TMX, the Financial Times said in its report, citing people close to the situation.
[Promotion link: vertical mill grinding mill crusher china crushers]
The article said that LSE CEO Xavier Rolet would become chief executive of the new group, while TMX chairperson Wayne Fox would be chairperson and Thomas Kloet, the CEO of the TMX, would be president.
TheToronto-based TMX Group was created after the TSX agreed in December 2007 to buy the Montreal Exchange for C$428-million in cash and 15,3-million TSX shares.
No comments:
Post a Comment