(Reuters) - U.S. exchange operator CME Group (CME.O) said it had reached an agreement to buy Michael Spencer’s NEX Group (NXGN.L), valuing the British company at about 3.9 billion pounds ($5.49 billion) and creating a cross-border trading powerhouse.
Men enter the CME Group offices in New York, U.S., October 18, 2017. REUTERS/Brendan McDermid
As part of the deal, NEX shareholders will receive 500 pence in cash for each NEX share and 0.0444 new CME shares. Each NEX share will be valued at 1000 pence, CME said.
“At a time when market participants are seeking ways to lower trading costs and manage risk more effectively, the acquisition will allow us to create significant value and efficiencies for our clients globally,” CME’s Chairman and CEO Terry Duffy, said.
Reporting by Noor Zainab Hussain in Bengaluru. Editing by Jane Merriman