LSE selling clearing arm to Euronext to pave way for Deutsche Boerse merger

London

LONDON Stock Exchange Group Plc agreed to sell its French clearing unit to Euronext NV for 510 million euros (S$767 million) in cash, putting it on course to end a 13-year combination that the company hopes will pacify competition watchdogs.

LCH Clearnet SA's sale requires Euronext shareholder and other approvals, according to a statement from Euronext on Tuesday. The deal may be completed by the end of the second quarter.

The clearinghouse's sale is an attempt to smooth the way for Deutsche Boerse AG's US$12 billion takeover of London-based LSE. That deal would create Europe's dominant operator in everything from indexes to stock markets and cl…