23 May 2018

DTCC calls off LCH.Clearnet merger

29 April 2009  |  11224 views  |  0 Broken record

The Depository Trust and Clearing Corporation has called off its pursuit of LCH.Clearnet after the parties failed to reach agreement over a proposed transatlantic merger.

The DTCC's withdrawal leaves the way clear for a consortium of banks led by inter-dealer broker Icap to make an offer for the London clearer. The 12-strong group is understood to have communicated with the LCH.Clearnet board to say it will be ready to make an offer by the end of May.

Their intervention has finally scuttled DTCC's ambitions to create a cross-border clearing colossus after it initially signed a heads of agreement with LCH.Clearnet in October last year.

In a statement, the company says: "LCH.Clearnet has not agreed on a basis for consummating the proposed merger with DTCC and, after consultation with our Board of Directors, regrettably DTCC sees no choice but to pursue other strategic alternatives to develop seamless transatlantic clearing services to support the needs of our customers and the industry."

The constortium-based bid is understood to have the tacit support of European regulators, who would prefer ownership and oversight of the clearer to remain under EU jurisdiction.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

LSE pulls out of LCH.Clearnet consortium

LSE pulls out of LCH.Clearnet consortium

13 March 2009  |  8665 views  |  0 comments
LCH.Clearnet to open New York office

LCH.Clearnet to open New York office

11 March 2009  |  7039 views  |  0 comments
LCH.Clearnet mulls buying out investors - FT

LCH.Clearnet mulls buying out investors - FT

05 March 2009  |  5884 views  |  0 comments
LCH.Clearnet to develop eurozone clearing house for credit default swaps

LCH.Clearnet to develop eurozone clearing house for credit default swaps

13 February 2009  |  11085 views  |  0 comments
HSBC and JPMorgan join SwapClear; DTCC hits back at LCH.Clearnet critics

HSBC and JPMorgan join SwapClear; DTCC hits back at LCH.Clearnet critics

03 February 2009  |  9299 views  |  0 comments
Icap-led consortium preps counter-bid for LCH.Clearnet

Icap-led consortium preps counter-bid for LCH.Clearnet

02 February 2009  |  6683 views  |  0 comments
DTCC and LCH.Clearnet propose merger

DTCC and LCH.Clearnet propose merger

22 October 2008  |  9750 views  |  0 comments

Related company news

 
Visit www.vasco.com/news/mobile-firstVisit www.niceactimize.comVisit response.ncr.com

Top topics

Most viewed Most shared
PayPal agrees $2.2 billion deal for iZettlePayPal agrees $2.2 billion deal for iZettl...
9937 views comments | 16 tweets | 28 linkedin
BBVA begins global roll-out of unified mobile appBBVA begins global roll-out of unified mob...
8736 views comments | 6 tweets | 5 linkedin
Japanese banks join quantum computing hubJapanese banks join quantum computing hub
7401 views comments | 8 tweets | 5 linkedin
SEC lures wannabe crypto investors with fake ICO siteSEC lures wannabe crypto investors with fa...
6913 views comments | 7 tweets | 11 linkedin
Digital banking transformation creating new systemic risksDigital banking transformation creating ne...
6687 views comments | 17 tweets | 22 linkedin

Featured job

Package guide £250-300K
London

Find your next job