The price of shares on the London Stock Exchange (LSE) struck an historic peak on Tuesday, amid the prospect of a possible merger between the LSE and the New York Stock Exchange.
The share price in Europe’s biggest exchange hit a record high of 1 252,5 pence in London trading, giving the LSE a market value of £3,2-billion.
The previous record high for the LSE share price was 1 238 pence, reached on April 13 after the Nasdaq Stock Market, which is dominated by United States technology listings, bought 14,99% of LSE stock for £447,7-million.
After achieving the new high, the LSE share price stood at 1 251.0 in afternoon London trade, a jump of 1,54% on Thursday’s close.
The New York Stock Exchange (NYSE) has admitted in documents filed with the US Securities and Exchange Commission (SEC) that it has begun talks over a potential merger with a rival exchange.
According to the Sunday Times and the Sunday Telegraph newspapers in London, the filing intensified speculation that the NYSE could launch a takeover offer for the London Stock Exchange or another European rival such as Euronext.
In a regulatory filing submitted to the SEC on Friday, the NYSE said it was ”currently engaged in discussions with certain participants, although no definitive terms have been discussed or agreements reached”.
”We intend to continue to engage in strategic discussions and we will need to respond to potential opportunities quickly and decisively,” it had said. — Sapa-AFP