NYSE and Euronext in $20bn merger (BBC)

The New York Stock Exchange and European exchange Euronext are to combine in a "merger of equals", the pair have announced.

The agreement will create a transatlantic stock market worth $20bn (16bn euros; £11bn).

Each NYSE share will be converted into one share of common stock in the merged company, to be renamed NYSE Euronext.

The NYSE put out a statement on Thursday afternoon local time confirming the deal.
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more: http://news.bbc.co.uk/2/hi/business/5039412.stm

Mark Tran
Friday June 2, 2006

The New York stock exchange (NYSE) and the pan-European exchange Euronext are merging to create the world's largest stock market.

The NYSE agreed late yesterday to buy Euronext for $9.9bn (£5.3bn) in cash and stock, trumping a larger offer from Deutsche Börse.

If approved by regulators and shareholders, NYSE's acquisition of Euronext would create a single platform where traders could deal in stocks, options, futures, commodities and corporate bonds across two continents - for up to 12 hours daily.

That could give the new exchange a decisive advantage over smaller bourses such as the London stock exchange (LSE) and trigger further consolidation in the sector.

http://business.guardian.co.uk/story/0,,1789127,00.html

Euronext is not quite what they have re-invented in this press release. It
is benelux and france, not all of europe. The nyse has long had close ties with
the french exchange when they sold them the software systems near 20 years back.

It was a second choice, they wanted the London exchagne. Likely, the next round
of consolidation would bring together, finally, the DTB, NASDAQ and London.
Archipelago and the chicago exchanges could also get creative like this and
head across the pacific.

The globalizers will have to come to terms with their detractors for cross-listings
to work in this hodgepodge stitchup. If they can't get a cooperating market in
index futures and stock options, they're still open to the DTB's greater depth.

This is not a sign of NYSE power, it is a public company giving up control in a
desperate act to merge or die. The exchange sector is maturing, and as they buy
each other up, globalization will strip national identity for volume and volatility.

For all the warmongering, the greedy imperial globalists are expanding abraod with
their surplus as usual. It is interesting, this deal, worth keeping an eye on, as
french and US global politics grind together at the exchange.

Archipelago is the NYSE, forgot about that.

French government has proposed a capital flight tax, and
i'm wondering how that might work in a network with NYSE.

Will the global liquidity myth will still hold with capital border controls.

Hasn't the bigger-is-better myth been overturned?.. or has the growth
of database technology (size and transactionwse) only egged them on
to subsume the planet.

Why not toronto and mexico city, so they can sort out the americas
hemisphere, no, at europe chasing the money, chasing more money
flows from old europe to finance the US deficit. The US markets
are greedy greedy for foreign cash right now, i can't believe the
NYSE just sold itself out to fucking paris and benelux. IT is not
a merger of equals, it is a tremendous humbling, and now the US
primary equity market is prepared for getting the transaction
volume of transatlantic arbitrage, as all the financiers abandon
ship like rats. An interesting one turned up recently, the head
of calpers, a very successful and rich dude, left california with
his family for london. Those with the means are taking their money
contacts across borders. I can't blame them, but the sign of
selling the country off to the european old money, the monarchy,
long live king greed.

I'm hoping some of the saner portions of the world can insulate themselves somewhat from the ensuing tidal wave.

I see it as a good thing. Markets are meant to be expansive, so it will benefit the investor through access to a larger market, and be more efficient. I'm just curious about the listing requirements.