Monday, December 12, 2011

London Stock Exchange Group (LSEG) acquire the 50% stake in FTSE

London Stock Exchange Group (LSEG) acquire the 50% stake in FTSE ; London Stock Exchange Group (LSEG) has agreed to acquire the 50% stake in index provider FTSE International it does not already own from Pearson for total cash consideration of GBP450m.

FTSE International, established in 1995 as a joint venture between LSEG and Financial Times Group, offers a broad and international suite of products and services

FTSE has reported a revenue of GBP98.5m, EBITDA of GBP40m and a net income of GBP9.4m in 2010 and currently calculates and manages more than 200,000 indices worldwide which are linked to over $3 trillion in global assets under management.

The deal will help diversify LSEG's business into indices, data and analytics and creates new opportunities for LSEG's listed derivatives trading business.

LSEG CEO Xavier Rolet said that this is a business they know well, and they expect that going forward their customers will benefit from greater choice, opportunity and innovation. They expect this transaction to create long-term value and growth for their customers and shareholders.

The acquisition is expected to close by the first quarter of 2012. Morgan Stanley & Co. is acting as financial adviser to LSE Group in relation to the FTSE transaction. For the latest updates on the stock market, visit Stock Market Today
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