US Watchdog Signs Off on LSE’s $27B Refinitiv Takeover
- The London Stock Exchange said in it expects the transaction to close in the second half of 2020.
London Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term’s parent company has secured regulatory approval from a US government panel for its proposed $27 billion million acquisition of financial data provider Refinitiv. The Committee on Foreign Investment in the United States (CFIUS) said Monday the takeover doesn’t raise any national security concerns, which clears yet another hurdle for the all-stock deal to buy the former financial and risk business of Thomson Reuters, which was revealed in August.
The UK’s FCA regulator gave the purchase offer’s circular its backing in November, and LSEG’s shareholders also have overwhelmingly voted in favor of the institution’s planned buyout that will put them in competition with giants like Bloomberg.
The London Stock Exchange Stock Exchange A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin Read this Term said in its statement that it expects the deal to close in the second half of 2020. However, the bourse operator still needs to secure more approvals and antitrust clearances as regulators are likely to scrutinize the transaction and its potential impact on market data costs.
European competition authorities, which had previously proved to be an obstacle for cross-border alliances, are expected to vote on LSEG’s move to acquire Refinitiv “around the summer,” LSE said in January.
Back in 2017, antitrust regulators blocked London Stock Exchange’s £21 billion merger with Deutsche Boerse, citing monopoly concerns from combining Europe’s two largest stock exchange operators.
Refinitiv to become biggest shareholder in LSE
Under the terms of the deal, the Blackstone-led Refinitiv will own 37 percent of the combined group, while its former owner, Thomson Reuters, will be holding a 15 percent stake. It would become the biggest shareholder in the London exchange, with the right to name three directors.
LSE said there is a lot of overlap with Refinitiv in areas including technology, property, and corporate functions, which allows for combining the data generated by the exchange with Refinitiv’s distribution and analytics.
The proposed takeover also helped strengthen Thomson Reuters’ profit metrics due to the positive revaluation of warrants that the company holds in Refinitiv after LSEG’s offer.
Refinitiv, whose Eikon terminals challenge those provided by Bloomberg, went private in October 2018 when Reuters completed the sale of its majority stake to a consortium led by private equity firm Blackstone Group for $20 billion. Thomson Reuters kept a 45 percent stake in the business.
London Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term’s parent company has secured regulatory approval from a US government panel for its proposed $27 billion million acquisition of financial data provider Refinitiv. The Committee on Foreign Investment in the United States (CFIUS) said Monday the takeover doesn’t raise any national security concerns, which clears yet another hurdle for the all-stock deal to buy the former financial and risk business of Thomson Reuters, which was revealed in August.
The UK’s FCA regulator gave the purchase offer’s circular its backing in November, and LSEG’s shareholders also have overwhelmingly voted in favor of the institution’s planned buyout that will put them in competition with giants like Bloomberg.
The London Stock Exchange Stock Exchange A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin Read this Term said in its statement that it expects the deal to close in the second half of 2020. However, the bourse operator still needs to secure more approvals and antitrust clearances as regulators are likely to scrutinize the transaction and its potential impact on market data costs.
European competition authorities, which had previously proved to be an obstacle for cross-border alliances, are expected to vote on LSEG’s move to acquire Refinitiv “around the summer,” LSE said in January.
Back in 2017, antitrust regulators blocked London Stock Exchange’s £21 billion merger with Deutsche Boerse, citing monopoly concerns from combining Europe’s two largest stock exchange operators.
Refinitiv to become biggest shareholder in LSE
Under the terms of the deal, the Blackstone-led Refinitiv will own 37 percent of the combined group, while its former owner, Thomson Reuters, will be holding a 15 percent stake. It would become the biggest shareholder in the London exchange, with the right to name three directors.
LSE said there is a lot of overlap with Refinitiv in areas including technology, property, and corporate functions, which allows for combining the data generated by the exchange with Refinitiv’s distribution and analytics.
The proposed takeover also helped strengthen Thomson Reuters’ profit metrics due to the positive revaluation of warrants that the company holds in Refinitiv after LSEG’s offer.
Refinitiv, whose Eikon terminals challenge those provided by Bloomberg, went private in October 2018 when Reuters completed the sale of its majority stake to a consortium led by private equity firm Blackstone Group for $20 billion. Thomson Reuters kept a 45 percent stake in the business.