London, Canada bourses file for key merger
London, May 14, 2011
The London Stock Exchange (LSE) and Canada's TMX Group have both posted strong financial results as they file their $3 billion merger deal with the Canadian authorities.
The exchanges said they had formally applied to have their merger approved by securities authorities in Ontario, Quebec, Alberta and British Columbia, all of which must pass the merger.
'We recently initiated the approval process and look forward to working with the various federal and provincial authorities to achieve the necessary approvals,' TMX chief executive Tom Kloet said in a statement.
The British exchange posted a 22 per cent rise in 2010 profit which rose to £341 million ($555.5 million), compared to £280 million in 2009 and well above a forecast of £314 million in a poll of 14 analysts.
TMX reported first quarter profits up 13 per cent to C$64.3 million ($66.8 million).
LSE's share of domestic equities trading - historically its top earning business - has slumped in the past three years amid increasing competition.