London Stock Exchange: HKEX makes unsolicited bid
(CercleFinance.com) - Hong Kong Exchanges have made an unsolicited bid to buy London Stock Exchange for about 30 billion pounds (approximately 33.
5 billion euros).
Under the terms of the deal, LSEG shareholders would receive 2,045 pence in cash and 2.495 newly issued HKEX shares for each share they own, implying a total value of 8,361 pence, which represents a premium of 22.9% to the closing share price of 6,804 pence yesterday.
HKEX said the proposed combination represents a "highly compelling strategic opportunity to create a global market infrastructure leader".
LSE shares are trading up 6% at 7,208 pence this morning, showing that investors believed there was no certainty that an offer will be made.
London Stock Exchange Group confirmed that HKEX has made an "unsolicited", "preliminary" and "highly conditional" offer, and said that it will consider the proposal, making a further announcement in due course.
Last month, LSEG said it was planning to buy market data firm Refinitiv.
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