Deutsche Boerse merger with LSE bolsters Europe's economy
[FRANKFURT] The planned US$30 billion merger between Deutsche Boerse and LSE Group comes at the right time to support the EU's Capital Markets Union (CMU) and bolster growth in the bloc's flagging economy, the head of the German exchange operator's biggest division said in an interview.
Europe has reached a crossroads in the search for growth and recognised the need for strong market infrastructure in the CMU project, which aims to make it easier for European companies to raise funds in the capital markets instead of relying on bank lending.
"Having a global player in the exchange industry is critical for Capital Markets Union," Deutsche Boerse board member Jeffrey Tessler told Reuters.
"The timing of this merger is perfect; it brings Europe and the UK closer together," said Mr Tessler, who is responsible for businesses such as derivatives trading, clearing and settlement that provided three quarters of Deutsche Boerse's 2.4 billion euros (S$3.68 billion) in revenue last year.
REUTERS
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