Share Dealing
London Stock Exchange and TMX merger scrapped
Rob Langston, 30 June 2011
The London Stock Exchange Group has abandoned plans to merge with the TMX Group after failing to gather enough support.
In a statement, the index group revealed it was unlikely to achieve the two-thirds majority approval required at a TMX shareholder meeting.
Xavier Rolet, chief executive of London Stock Exchange Group, said it had been 'disappointed' by the news.
He said, 'We believe the merger would have been a unique opportunity for TMX Group shareholders to be partners in a truly international group, co-located in Toronto and London, focussed on growth and opportunity.
'We thank our own shareholders for their unwavering and overwhelming support in the past few months.'
Rolet said there were a number of other growth opportunities for the group in the areas it operated in.
The failure of the merger will see TMX pay London Stock Exchange Group C$10 million (£6.5 million). A further C$29 million (£18.8 million) could be paid if TMX is acquired by Maple Group.
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