In a joint statement, the companies said that the outcome of the European Union referendum, in which Britons voted in favor of exiting the European Union, doesn’t impact the rationale behind the merger.
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The Frankfurt and London stock exchanges said Friday they would press ahead with their planned merger even though Britain had voted to leave the European Union.
The combined company would have headquarters in London and Frankfurt, the home of Deutsche Börse.
French EDF’s main labor union said that the utility should delay the final investment decision on its 18 billion pound ($24 billion) project to build a nuclear plant in Hinkley Point in southern England after Britons voted to quit the EU.
London Stock Exchange Group shareholders are expected to vote on July 4 on whether to approve the deal.
Both continue to recommend that LSE shareholders vote in favor of the merger and that Deutsche Borse shareholders tender their stock.
A source familiar with the merger plans said the question of the location for the holding company was one of the top issues the committee would consider.
The companies had said that an exit by Britain would not change the deal but could “well affect the volume or nature” of business carried out by the combined company.
Shares in Deutsche Boerse closed 9.3 percent lower, lagging a 7 percent drop among German blue chip shares (.GDAXI), while LSE’s stock fell 8.6 percent.
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This post was syndicated from pulse.ng – Nigeria’s entertainment & lifestyle platform online.
