UK deciding to leave the European Union could put the planned $30 billion merger between the London Stock Exchange and Germany’s Deutsche Börse at risk.
German regulators contested plans for a merged Deutsche Boerse-London Stock Exchange to be based in London following Britain’s vote to leave the European Union, while one politician even said the deal was now as good as dead.
Deutsche Boerse and LSE agreed in March to a $30 billion merger to create a European trading powerhouse that would be domiciled in Britain with headquarters in both London and Frankfurt.
Two German regulatory sources told Reuters on Friday, however, that there was increasing scepticism about London being the base for the holding company of the combined group.
“There is rising irritation and increasing concern that London as a base poses a problem,” one of the sources said after the Brexit vote.
The exchange regulator in the German state of Hesse, where Deutsche Boerse is based and which has the power to block the deal, declined to comment.
The state minister to whom the regulator answers, however, said Brexit would play a role in the decision about whether to approve the deal.
“We will take account of yesterday’s decision in our review,” Tarek Al-Wazir wrote on his Facebook page. “We will wait and see whether the plans remain in their current form.”
Full Content: Financial Times
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
BHP Unveils £31bn Mining Megamerger Proposal with Anglo American
Apr 25, 2024 by
nhoch@pymnts.com
ByteDance Prefers Shutdown Over Sale of TikTok Amid US Ban Threats
Apr 25, 2024 by
CPI
FCC Votes to Restore Net Neutrality Rules
Apr 25, 2024 by
nhoch@pymnts.com
Apple Rejects Spotify’s Updated App Over In-App Pricing Disclosure
Apr 25, 2024 by
CPI
FCC Set to Reinstate Net Neutrality Rules Today
Apr 25, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI