Deutsche Börse shareholders have backed the exchange’s planned merger with NYSE Euronext.
The German bourse confirmed yesterday that the level of preliminary acceptances of a tender offer tied to the merger stands at above 80 per cent.
The tender offer needed acceptances of at least 75 per cent to proceed.
With shareholder support now in the bag for both parties, focus will shift to the regulatory hurdles that must be overcome on both sides of the Atlantic.
‘The big hurdle is still to come and that’s the EC – that’s the one thing I’ve been worried about,’ says Chris Allen, analyst at Evercore Partners in New York, in a report from Reuters.
‘You’ve had deals breaking apart for a variety of different reasons, each somewhat unique. This one is the most compelling out of all the deals that were on the table, and arguably makes the most sense because of the overlap in businesses.’
Shareholders on both sides had been offered a special dividend to back the deal, worth €2 ($3) for every Deutsche Börse share and €0.94 for each NYSE Euronext share.
Deutsche Börse and NYSE Euronext are hoping to succeed with their merger where other big exchange groups have failed.
Last month, TMX Group called off its tie-up with the London Stock Exchange after the Canadian exchange group failed to secure enough shareholder backing for the deal.
Earlier this year, the Australian Stock Exchange and the Singapore Exchange saw their proposed merger blocked by Australian regulators on national interest grounds.
[Article by Tim Human, IR magazine]