The European Commission (EC) on 26 June 2013 approved Inter Continental Exchange’s (ICE) proposed 8.2 billion dollars takeover of NYSE-Euronext.
The European Commission stated that ICE and NYSE-Euronext are not direct competitors in most markets and will be facing strong competition from other exchanges.
Inter Continental Exchange is based in Atlanta, Georgia and is popular as a commodities marketplace. It announced its stock-and-cash offer for NYSE—Euronext, valued at 33.12 dollars per share, in December 2012.
The deal is supposed to give ICE control of the New York Stock Exchange and London-based Liffe, Europe’s second-largest derivatives market. The combined ICE—NYSE Euronext will become the third-largest exchange group globally, behind Hong Kong Exchanges and Clearing and CME Group.
It is worth mentioning here that the Commission approval had been widely expected: after a joint bid for NYSE—Euronext by ICE and Nasdaq failedin year 2012. The ICE had proactively asked the Commission to examine the new bid.
The deal was approved by NYSE-Euronext shareholders earlier in June 2013 and is expected to close in the second half of 2013.