| London Stock Exchange Group plc | |
|---|---|
 |
|
| Type | Public (LSE: LSE) |
| Founded | 1801 |
| Headquarters |  London, England, UK |
| Key people | Clara Furse, CEO Christopher S. Gibson-Smith, Chairman |
| Industry | Financial |
| Products | Stocks |
| Slogan | Dictum meum pactum, "My word is my bond".[1] |
| Website | londonstockexchange.com |
The London Stock Exchange Group plc is the leading diversified exchange group in Europe. Following the merger with Borsa Italiana, the group is Europe's leading equities business, with 48% of the FTSEurofirst 100 by market capitalisation and with the most liquid order book by value and volume traded. The Group owns the London Stock Exchange and the Borsa Italiana stock exchanges. It became a member of the FTSE 100 as of 4 December 2007.
Contents |
Takeover of Borsa Italiana
On the 23rd June 2007 the LSE agreed to take over the Milan-based Borsa Italiana for 1.6bn euros (£1.1bn; $2bn). The combination will diversify the LSE's product offering and customer base. On 8 August, shareholders in the London Stock Exchange approved the transaction. 155,767,201 shares were voted in favour of the merger with Borsa Italiana. This represented 100 per cent of votes cast and 78 per cent of issued share capital. The all-share deal diluted the stakes of existing LSE shareholders, with Borsa Italiana shareholders receiving new shares representing 28 per cent of the enlarged register. Nasdaq's stake of nearly 30 percent in the LSE, which Nasdaq built up during a failed takeover attempt in 2006-7, fell to around 22 percent following the deal with Borsa Italiana[2]. As of October 1, 2007, the merger was complete.[3] This diluted the holdings in the merged company of Borse Dubai to 20% from 28% and Qatar group to 14%. Nasdaq no longer owns any stocks in the company. The enlarged group was included in the FTSE100 index as of 4 December 2007.
Alliances
Collaboration with SGX
After the London Stock Exchange (LSE) rejected a £2.4bn takeover approach from Nasdaq in 2006, LSE showed that it is fighting to retain its independence and preferred to establish an Euro-Asian Gateway for securities and derivatives. LSE is currently collaborating with Singapore Exchange (SGX) - calling it a major strategic partner in Asia - and is planning to take a large stake in SGX by the end of 2007. Some rumours are even pointing out that a take over of SGX by LSE is in preparation.
Major shareholders
Borse Dubai - 20%
Qatar group - 14%
See also
References
- ^ A piece of trivia: Upon occasion, financial companies will decide to use this motto. They only know the English "My word is my bond"; and, due to the difficulty of locating the original Latin motto (from which the English version is taken), produce a fake coat of arms for their business embellished with the Latin motto verbum meum pactum. At first sight, this seems O.K. -- for this Latin motto also means "My word is my bond" -- but, sadly for them, whilst dictum meum pactum very definitely means "The words that come out of my mouth are my bond", the contrasting motto verbum meum pactum, in this context, means "The words that I write on a page are my bond"; and, as a consequence, they are warning their customers that "Nothing that I say can be trusted".
- ^ http://today.reuters.co.uk/news/articleinvesting.aspx?type=mergersNews&storyID=2007-06-25T072946Z_01_L25318616_RTRIDST_0_BORSA-ITALIANA-LSE-UPDATE-1.XML
- ^ http://www.londonstockexchange-ir.com/
External links
|
|
|
|---|---|
| Types of stocks | Stock · Common stock · Preferred stock · Outstanding stock · Treasury stock |
| Participants | Market maker · Floor trader · Floor broker |
| Exchanges | Stock exchange · List of stock exchanges |
| Stock valuation | Gordon model · Dividend yield · Income per share · Book value · Earnings yield · Beta coefficient |
| Financial ratios | P/CF ratio · PE ratio · PEG ratio · Price/sales ratio · P/B ratio · D/E ratio · ROIC · ROE |
| Trading theories | Dow Theory · Elliott Wave Theory · Fundamental analysis · Technical analysis · Mark Twain effect · January effect · Efficient market hypothesis · Arbitrage pricing theory |
| Related terms | Dividend · Stock split · Growth stock · Investment · Speculation · Trade · Day trading · Stock trader/investor |
