NYSE, Deutsche Boerse Merger Date Extended

NYSE Euronext and Deutsche Boerse AG (DB1) delayed the deadline for completing their merger until March 31 as the exchange operators try to persuade European regulators to approve the deal.

The extension was announced in a regulatory filing. The companies previously said they expected to complete their combination “shortly” after the Feb. 9 deadline for a ruling by the European Commission. That date was extended on Dec. 13. The companies said in February when they announced the merger that they expected to close the deal this year.

NYSE Euronext of New York and Frankfurt-based Deutsche Boerse are trying to convince European regulators that combining to create the world’s largest exchange operator won’t stifle competition in derivatives and clearing.

“We expect things to be relatively quiet from now until early January,” NYSE Euronext (NYX) Chief Executive Officer Duncan Niederauer told company employees in an e-mail on Dec. 22, according to a regulatory filing. “After the holidays, we will commence our final push to convince the College of Commissioners that our proposed deal is good for Europe and does not impede competition.”

European Union regulators told NYSE Euronext and Deutsche Boerse that new concessions they offered to allay antitrust concerns don’t go far enough, two people familiar with the discussions said this month.

The exchanges met with officials in Brussels on Dec. 21 to discuss their revised offer, which included capping fees on derivatives trading and clearing for three years, the sale of NYSE’s Liffe single-stock derivatives business, and the licensing of the Eurex trading system to a third party, said the people, who declined to be named because the talks are private.

To contact the reporter on this story: Nina Mehta in New York at nmehta24@bloomberg.net

To contact the editor responsible for this story: Nick Baker at nbaker7@bloomberg.net

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