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New York Stock Exchange sold to derivatives company in $8bn takeover

New York Stock Exchange sold to derivatives company in $8bn takeover

The New York Stock Exchange called time on two centuries of independence on Thursday, agreeing to an $8.2bn takeover that will hand control of the icon of American capitalism to an Atlanta-based energy trader.

The stock exchange’s holding company, NYSE Euronext, has agreed to an offer of $33.12 a share in cash and stock from IntercontinentalExchange (ICE). ICE was founded in 2000, NYSE in 1817. The combined company would have headquarters in both ICE’s home of Atlanta and in New York.

The takeover comes amid a historic shift for Wall Street and stock exchanges around the world. The move to electronic trading, fierce competition between exchanges and the sharp decline in trading commissions has led to a wave of mergers and takeover offers that have failed amid regulatory concerns.

The exchange, also called the Big Board, has moved to embrace technology in recent years but still also uses the “open outcry” system with traders in bright-coloured jackets shouting and waving their hands to make orders.

This entry was published on December 21, 2012 at 12:17 am. It’s filed under Politics and tagged . Bookmark the permalink. Follow any comments here with the RSS feed for this post.

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