Analysis: NYSE Sold to Rival Exchange ICE for $8.2B
Thursday, December 20, 2012
The New York Stock Exchange is being sold to a rival exchange for about $8 billion, ending more than two centuries of independence for the iconic Big Board.
Atlanta-based IntercontinentalExchange – an upstart commodities and derivatives trading platform – said Thursday that NYSE Euronext Inc. shareholders can chose to receive either $33.12 in cash, .2581 IntercontinentalExchange Inc. shares, or a combination of $11.27 in cash plus .1703 shares of stock.
The deal has been approved by the boards of both companies, but would have to be approved by regulators.
As stock trading has become less profitable, more exchanges around the world have been trying to merge.
“All of these exchanges are busy trying to buy each other up,” said New York Times Op-Ed Columnist and WNYC Contributor Joe Nocera. “They’re all in this process of consolidating because profits are being squeezed. It’s a tough, tough market. High frequency trading is taking over the market and so electronics matter a whole lot more.”
WNYC’s Soterios Johnson spoke to Nocera Thursday. To listen to the full interview, click on the audio above.
With the Associated Press
Leave a Comment
Register for your own account so you can vote on comments, save your favorites, and more. Learn more.
Please stay on topic, be civil, and be brief.
Email addresses are never displayed, but they are required to confirm your comments. Names are displayed with all comments. We reserve the right to edit any comments posted on this site. Please read the Comment Guidelines before posting. By leaving a comment, you agree to New York Public Radio's Privacy Policy and Terms Of Use.