Hong Kong Exchanges and Clearing drops $39 billion offer to buy London Stock Exchange

Pedestrians walk past the Stock Exchange of Hong Kong on May 24, 2018 in Hong Kong. Hong Kong’s bourse on Tuesday dropped its unsolicited $39 billion bid for London Stock Exchange Group (LSE), conceding it hadn’t won over LSE management for a move that could have transformed both global financial services businesses. The Hong Kong exchange had said the LSE would have to ditch the Refinitiv purchase for its offer to go ahead. In a statement on Tuesday, Hong Kong Exchanges and Clearing (HKEX), sai


Pedestrians walk past the Stock Exchange of Hong Kong on May 24, 2018 in Hong Kong. Hong Kong’s bourse on Tuesday dropped its unsolicited $39 billion bid for London Stock Exchange Group (LSE), conceding it hadn’t won over LSE management for a move that could have transformed both global financial services businesses. The Hong Kong exchange had said the LSE would have to ditch the Refinitiv purchase for its offer to go ahead. In a statement on Tuesday, Hong Kong Exchanges and Clearing (HKEX), sai
Hong Kong Exchanges and Clearing drops $39 billion offer to buy London Stock Exchange Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-08
Keywords: news, cnbc, companies, exchanges, drops, clearing, refinitiv, london, stock, hkex, offer, hong, buy, lse, kong, exchange, management


Hong Kong Exchanges and Clearing drops $39 billion offer to buy London Stock Exchange

Pedestrians walk past the Stock Exchange of Hong Kong on May 24, 2018 in Hong Kong.

Hong Kong’s bourse on Tuesday dropped its unsolicited $39 billion bid for London Stock Exchange Group (LSE), conceding it hadn’t won over LSE management for a move that could have transformed both global financial services businesses.

The surprise approach, made last month, had threatened to upend the LSE’s own $27 billion plan to buy data and analytics company Refinitiv. The Hong Kong exchange had said the LSE would have to ditch the Refinitiv purchase for its offer to go ahead.

In a statement on Tuesday, Hong Kong Exchanges and Clearing (HKEX), said it still believed the combination of the two exchanges would be “strategically compelling”.

“HKEX is disappointed that it has been unable to engage with the management (of the London Stock Exchange) in realizing this vision,” HKEX said.

The approach’s chance of success had been viewed by analysts as slim after it was emphatically rejected by the LSE just two days after HKEX went public with its interest.

Subsequent efforts by the Hong Kong exchange to engage with LSE shareholders had also met with resistance, with some investors telling Reuters the HKEX would have to raise its offer by at least 20% — mostly in cash — to tempt LSE shareholders.

HKEX shares rose 2.7% in early trading in Hong Kong following the news, compared with a 0.9% gain for the blue-chip Hang Seng Index.

“The price tag from the Hong Kong exchange perspective was getting a bit too high, so it’s good for the shareholders that they decided to walk away,” said Hao Hong, head of research at broker BOCOM International.

“HKEX will continue to try other things. Charles Li has done a lot of deals, most notably the London Metal Exchange. It may not be a stock exchange, but other related areas.”

HKEX’s approach for the LSE also struggled to win support as investors viewed the political turmoil engulfing Hong Kong and the perceptions of Beijing’s growing influence over the city as another key obstacle to any deal.

Under British takeover rules, the HKEX cannot bid again for the LSE for at least six months unless the LSE’s management agreed to an offer, another group made a bid for the London exchange operator, or other events were deemed to be a material change in the LSE’s circumstances.

“If the Refinitiv deal surprisingly fails to get approval, I think we could see HKEX come again,” said China Galaxy Securities analyst Chi Man Wong.

“The (LSE) shareholder meeting (to approve the Refinitiv purchase) has been tentatively set for November but there is no firm date. If that deal fails then HKEX will be there.”

Refinitiv is 45%-owned by Thomson Reuters which owns Reuters News.

The LSE was not immediately available to comment on HKEX’s announcement on Tuesday.


Company: cnbc, Activity: cnbc, Date: 2019-10-08
Keywords: news, cnbc, companies, exchanges, drops, clearing, refinitiv, london, stock, hkex, offer, hong, buy, lse, kong, exchange, management


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Hong Kong exchange drops its $39 billion bid to buy the London Stock Exchange

Hong Kong’s bourse on Tuesday dropped its unsolicited $39 billion bid for London Stock Exchange Group (LSE), conceding it hadn’t won over LSE management for a move that could have transformed both global financial services businesses. The Hong Kong exchange had said the LSE would have to ditch the Refinitiv purchase for its offer to go ahead. “HKEX is disappointed that it has been unable to engage with the management (of the London Stock Exchange) in realising this vision,” HKEX said. “The price


Hong Kong’s bourse on Tuesday dropped its unsolicited $39 billion bid for London Stock Exchange Group (LSE), conceding it hadn’t won over LSE management for a move that could have transformed both global financial services businesses. The Hong Kong exchange had said the LSE would have to ditch the Refinitiv purchase for its offer to go ahead. “HKEX is disappointed that it has been unable to engage with the management (of the London Stock Exchange) in realising this vision,” HKEX said. “The price
Hong Kong exchange drops its $39 billion bid to buy the London Stock Exchange Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-08  Authors: jacob pramuk
Keywords: news, cnbc, companies, lse, bid, london, billion, hkex, offer, kong, exchange, management, refinitiv, hong, stock, drops, buy


Hong Kong exchange drops its $39 billion bid to buy the London Stock Exchange

Hong Kong’s bourse on Tuesday dropped its unsolicited $39 billion bid for London Stock Exchange Group (LSE), conceding it hadn’t won over LSE management for a move that could have transformed both global financial services businesses.

The surprise approach, made last month, had threatened to upend the LSE’s own $27 billion plan to buy data and analytics company Refinitiv. The Hong Kong exchange had said the LSE would have to ditch the Refinitiv purchase for its offer to go ahead.

In a statement on Tuesday, Hong Kong Exchanges and Clearing Ltd (HKEX), said it still believed the combination of the two exchanges would be “strategically compelling”.

“HKEX is disappointed that it has been unable to engage with the management (of the London Stock Exchange) in realising this vision,” HKEX said.

The approach’s chance of success had been viewed by analysts as slim after it was emphatically rejected by the LSE just two days after HKEX went public with its interest.

Subsequent efforts by the Hong Kong exchange to engage with LSE shareholders had also met with resistance, with some investors telling Reuters the HKEX would have to raise its offer by at least 20% – mostly in cash – to tempt LSE shareholders.

HKEX shares rose 2.7% in early trading in Hong Kong following the news, compared with a 0.9% gain for the blue-chip Hang Seng Index.

“The price tag from the Hong Kong exchange perspective was getting a bit too high, so it’s good for the shareholders that they decided to walk away,” said Hao Hong, head of research at broker BOCOM International.

“HKEX will continue to try other things. Charles Li has done a lot of deals, most notably the London Metal Exchange. It may not be a stock exchange, but other related areas.”

HKEX’s approach for the LSE also struggled to win support as investors viewed the political turmoil engulfing Hong Kong and the perceptions of Beijing’s growing influence over the city as another key obstacle to any deal.

Under British takeover rules, the HKEX cannot bid again for the LSE for at least six months unless the LSE’s management agreed to an offer, another group made a bid for the London exchange operator, or other events were deemed to be a material change in the LSE’s circumstances.

“If the Refinitiv deal surprisingly fails to get approval, I think we could see HKEX come again,” said China Galaxy Securities analyst Chi Man Wong.

“The (LSE) shareholder meeting (to approve the Refinitiv purchase) has been tentatively set for November but there is no firm date. If that deal fails then HKEX will be there.”

Refinitiv is 45%-owned by Thomson Reuters which owns Reuters News.

The LSE was not immediately available to comment on HKEX’s announcement on Tuesday.


Company: cnbc, Activity: cnbc, Date: 2019-10-08  Authors: jacob pramuk
Keywords: news, cnbc, companies, lse, bid, london, billion, hkex, offer, kong, exchange, management, refinitiv, hong, stock, drops, buy


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Hong Kong stock exchange makes $36.6 billion offer for London stock exchange

Hong Kong Exchanges and Clearing Limited (HKEX) said Wednesday it has made a proposal to the board of London Stock Exchange Group Plc (LSE) to “combine the two companies,” in a deal which values the LSE at about £29.6 billion ($36.6 billion). The HKEX said the deal would be funded by a combination of existing cash and a new credit facility. HKEX has proposed £20.45 a share in cash, as well as 2.495 newly issued HKEX shares. LSE shares rallied shortly after 10:00 a.m. London time, rising by 8.5%


Hong Kong Exchanges and Clearing Limited (HKEX) said Wednesday it has made a proposal to the board of London Stock Exchange Group Plc (LSE) to “combine the two companies,” in a deal which values the LSE at about £29.6 billion ($36.6 billion). The HKEX said the deal would be funded by a combination of existing cash and a new credit facility. HKEX has proposed £20.45 a share in cash, as well as 2.495 newly issued HKEX shares. LSE shares rallied shortly after 10:00 a.m. London time, rising by 8.5%
Hong Kong stock exchange makes $36.6 billion offer for London stock exchange Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-11  Authors: david reid
Keywords: news, cnbc, companies, hong, announcement, statement, values, kong, 366, makes, deal, london, offer, lse, hkex, shares, cash, work, exchange, stock, billion


Hong Kong stock exchange makes $36.6 billion offer for London stock exchange

Hong Kong Exchanges and Clearing Limited (HKEX) said Wednesday it has made a proposal to the board of London Stock Exchange Group Plc (LSE) to “combine the two companies,” in a deal which values the LSE at about £29.6 billion ($36.6 billion).

The HKEX said the deal would be funded by a combination of existing cash and a new credit facility. It cautioned, however, that its statement to the market should be considered as an announcement to make a possible offer and is not confirmation of a firm intention to bid.

The statement from HKEX said a further announcement will be made “as and when appropriate.”

HKEX has proposed £20.45 a share in cash, as well as 2.495 newly issued HKEX shares. LSE shares rallied shortly after 10:00 a.m. London time, rising by 8.5% before giving up some of the initial gains.

HKEX said it expected key LSE management to keep their jobs and work for the new owners.


Company: cnbc, Activity: cnbc, Date: 2019-09-11  Authors: david reid
Keywords: news, cnbc, companies, hong, announcement, statement, values, kong, 366, makes, deal, london, offer, lse, hkex, shares, cash, work, exchange, stock, billion


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London stock exchange could delist Swiss companies like UBS amid EU standoff

The London stock exchange (LSE) has warned investors they could be forced to delist Swiss stocks from Monday due to a political standoff between Switzerland and the European Union (EU). According to a notice released Tuesday night, the exchange could halt trading in as many as 254 equity securities issued by Swiss companies. Similar warnings have also been issued by exchange operators Aquis Exchange, CBOE Global Markets and UBS. Switzerland and the EU are embroiled in an ongoing dispute regardin


The London stock exchange (LSE) has warned investors they could be forced to delist Swiss stocks from Monday due to a political standoff between Switzerland and the European Union (EU). According to a notice released Tuesday night, the exchange could halt trading in as many as 254 equity securities issued by Swiss companies. Similar warnings have also been issued by exchange operators Aquis Exchange, CBOE Global Markets and UBS. Switzerland and the EU are embroiled in an ongoing dispute regardin
London stock exchange could delist Swiss companies like UBS amid EU standoff Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-26  Authors: elliot smith
Keywords: news, cnbc, companies, ubs, companies, trading, swiss, securities, political, exchange, notice, delist, stock, amid, eu, london, switzerland, lse, standoff


London stock exchange could delist Swiss companies like UBS amid EU standoff

The London stock exchange (LSE) has warned investors they could be forced to delist Swiss stocks from Monday due to a political standoff between Switzerland and the European Union (EU).

According to a notice released Tuesday night, the exchange could halt trading in as many as 254 equity securities issued by Swiss companies.

Similar warnings have also been issued by exchange operators Aquis Exchange, CBOE Global Markets and UBS.

Switzerland and the EU are embroiled in an ongoing dispute regarding long-standing financial, immigration and trade ties between the two, since Switzerland is not a member of the bloc. The stock market equivalence granted to Switzerland by the EU expires at the end of June.

If the deadline passes on Sunday without an agreement on the EU’s new political demands, and the bloc decides not to extend, the LSE notice explained that “it is likely the Swiss authorities will remove the recognition that allows EU trading venues to offer trading in the Swiss equity securities.”


Company: cnbc, Activity: cnbc, Date: 2019-06-26  Authors: elliot smith
Keywords: news, cnbc, companies, ubs, companies, trading, swiss, securities, political, exchange, notice, delist, stock, amid, eu, london, switzerland, lse, standoff


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