LSE offered 20% of LCH.Clearnet
05 November 2003 | 3704 views | 0
The London Stock Exchange has been offered a 20% stake in LCH.Clearnet, the clearing firm that will be formed by the merger of the London Clearing House (LCH) and Clearnet, according to a report by Reuters.
The stake, worth about EUR240 million, would be sold by Clearnet owner Euronext in a bid to break the LSE's opposition to the proposed merger. The Exchange is concerned Euronext will have too much influence in the merged firm with its 41.5 percent stake.
The LSE has not yet responded to Euronext's offer.
The Exchange is currently considering moving its clearing business away from the LCH to Eurex Clearing, part of the Swiss-German derivatives exchange part-owned by Deutsche Boerse.