LSE-Deutsche Borse, the merger is closer

Brexit doesn't brake the merger London – Frankfurt: nowadays, the shareholders of the London Stock Exchange Group (LSE Group), the company that manages the London list and which also controls the Milan Stock Exchange, voted with a favorable opinion to the proposed merger with Deutsche Boerse. By July 12, they will have to vote on the transaction also members of the German company, through the postal vote.

As stated by Hufeld, the chairman of the German markets (BaFin), the only constraint is that the headquarters of the largest European stock exchange, which would arise from the merger, will not be in London, outside the European Union.

BaFin has no power of veto, but her concerns are likely to be taken into account by Deutsche Boerse which is based in Hesse, which has the power of veto on the transaction. Now the regulatory authorities, considered the greatest obstacle, must provide their positive opinion to start the procedure.

The day after the victory of Brexit, the two financial giants, assured in a joint statement that "the merger is not subject to the outcome of the British referendum," and therefore "companies remain committed to the path of unity."