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.
The company specialises in producing furniture from a wide array of materials, allowing it to act as a one-stop shop for private and commercial clients. Operating nationally, the company caters to 20 active industrial and commercial clients, all of...
LEASEHOLD
Label printing and over-labelling services provided to blue chip clients, predominantly in the food sector.
LEASEHOLD
The assets and intellectual property of disability equipment supplier have been put up for sale after the company appointed liquidators. The company developed a range of products used to regulate the temperature and moisture levels of people who use...
LEASEHOLD
31
|
Jan
|
Administrators still hope to find buyer for gin firm | ADMINISTRATION
Administrators from Begbies Traynor say they still hope to f...
31
|
Jan
|
Grade-II listed York city centre hotel up for sale at £3m | COMMERCIAL PROPERTY
The Judges Court Hotel in York has been put up for sale, wit...
30
|
Jan
|
Bakery manufacturer acquired at 6.3x underlying earnings | BUSINESS SALE
Bakery firm Lees Foods has been acquired by listed bakery bu...
Sign up to receive our acquisition alert emails to get your FREE guide
09
|
Dec
|
Wolseley targets electricity market with Jointing Technologies acquisition | BUSINESS SALE
Wolseley UK has acquired power cable specialist Jointing Tec...
04
|
Jan
|
Wolseley UK sold to private equity firm in £308m deal | BUSINESS SALE
UK-based heating and plumbing distribution company Wolseley ...
18
|
Mar
|
Middle East manufacturing group makes biggest UK investment with acquisition of historic paint company | BUSINESS SALE
Middle East manufacturing group makes biggest UK investment ...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources