Wed, 08 Jun 2016 | MERGER
The chief executive of German stock exchange clearing house Deutsche Boerse says that the proposed £21 billion merger with the London Stock Exchange (LSE) will be vital for maintaining links between the two countries in the event of a ‘Brexit’ vote.
The plan for a merger between Deutsche Boerse and the LSE was first announced in mid-March, but the proposed £21 billion deal has faced uncertainty in the face of a possible ‘Brexit’ if UK voters decide that the country should leave the EU during the referendum vote that is due to take place on 23 June 2016.
Nevertheless, Carsten Kengeter, the vehemently pro-EU chief executive of Deutsche Boerse, has stressed that the merging of the two major stock exchanges could be ‘key’ in maintaining strong links between the two industrial powerhouses of Europe in the event of the UK leaving the EU.
Mr Kengeter recently told The Daily Telegraph: “I want the UK to stay part of the EU, but if it’s not, the link we would provide between the Continent and the UK would be key.”
Both of the companies behind the two stock exchanges maintain that the deal will go through no matter what the outcome of the EU referendum, but this is the first time that Mr Kengeter has seriously considered the fate of the deal with the vote being too close to call at the start of June.
Regardless, investors on both sides of the £21 billion deal are due to make their final decision after the EU referendum has taken place. Mr Kengeter has argued that both markets would be far more stable if they were to merge, but that it would still need approval of regulators to ensure that sufficient competition is maintained. There will also be the possibility of some 1,250 job losses to be considered.
For more information on mergers and acquisitions, see what to look out for when buying a business.
This well-established independent deli and farm shop has been a local favourite for about 20 years, offering a wide range of groceries including specialist cheeses and fresh produce.
A profitable luxury branded merchandising company in the South West of England, known for its unique products and sustainability focus, is available for sale.
This is a unique opportunity to acquire a well-established garden centre and design business operating in the North-West.
Looking for more businesses? Try our off-market tool.
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.