LSE merger of equal-ness is a red herring

March 4, 2016

Is it a merger? Are they really equals? It matters not. Deutsche Boerse’s approach for its UK rival could leave London Stock Exchange shareholders 16 pct better off. If a spoiler comes from U.S. peer ICE, value not format is what should guide LSE’s board and boss Xavier Rolet.

Euronext IPO will be a tough sell

June 10, 2014

The European exchanges group reckons it’s worth up to 1.8 bln euros. The pitch relies on a 5 pct revenue growth target. With turnover declining since 2011, that’s optimistic. Anchor investors have a vested interest in backing the float. For other buyers, it’s a leap of faith.

LSE’s tilt at Russell is a long shot

May 13, 2014

London Stock Exchange is in talks to buy the Seattle-based compiler of small-cap stock indexes for a reported $3 bln. Pushing deeper into data makes sense. Yet LSE must face down rival bidders and sceptical shareholders. It also needs a plan for Russell’s asset-management arm.

Botched BATS IPO at least good test of markets

March 26, 2012

Scrapping a public debut is embarrassing for any company. But it’s a potential killer for an upstart stock exchange already being investigated over high-frequency trading. The relief for investors is that the failure by BATS wasn’t the catalyst for a broader meltdown.

Hong Kong’s LME bid is big bet on China flows

By Wei Gu
May 10, 2012

Hong Kong’s bourse has joined the bidding for the London Metal Exchange. If it can attract more volume from China, that would make up for the lack of obvious cost savings. But Beijing may open up anyway. HK’s lack of metals expertise makes the move look ambitious.

Nasdaq howler can’t explain Facebook flop for long

May 21, 2012

The exchange is still clearing up after a systems snafu left the social network’s stock trading in the dark after its Friday IPO. Nasdaq’s blunder dinged confidence and the bourse may be on the hook financially. But Facebook’s valuation must soon stand, or fall, on its own.

Nasdaq pours gasoline on Facebook fire

June 7, 2012

The exchange offered brokers a measly and controversial $40 mln to compensate them for over $120 mln of losses derived from the badly botched IPO of the social network. That has galvanized customers and rivals against Nasdaq. Boss Bob Greifeld is starting to look more exposed.