The London Stock Exchange and OM have won FSA approval for their new joint venture market EDX London and will commence trading Scandinavian equity derivatives Monday 30 June.
The Swedish technology firm earns an initial down payment of £12.8 million from EDX London for the transfer of the equity derivatives business of OM London Exchange. An additional sum of up to £11.2 million will be payable on achievement of certain revenue targets by EDX London by 31 December 2005.
London Stock Exchange holds a 76% controlling stake in the new company and OM holds a 24% interest through its subsidiary Stockholmsbörsen. Investment in the company is determined on a pro rata basis.