NYSE to Set Up New Europe Exchange for Smaller Companies
NYSE Euronext (NYX), which runs bourses in Paris, Amsterdam, Brussels and Lisbon, said it will set up a new pan-European exchange for small and medium-sized companies.
The operator of the New York Stock Exchange will create a subsidiary and fold in smaller companies listed on its Euronext and Alternext markets, according to an e-mailed statement today. There are about 800 companies from the four countries in which NYSE Euronext operates in Europe, the exchange said. It plans to allocate 50 employees and 18 million euros ($24 million) to the annual operating budget of the new unit.
NYSE is committed to “revitalizing market financing” for small and medium-sized businesses, Dominique Cerutti, president and deputy chief executive officer of NYSE, said in the statement.
In November, NYSE Euronext reported a smaller decline in third-quarter profit than estimated as cost cuts and lower taxes partly offset a slump in trading. Cerutti said in an interview in July that the company is seeking to expand clearing services and is reviewing ways to cut costs after its failed merger with Deutsche Boerse AG. (DB1)
To contact the reporter on this story: Nandini Sukumar in London at firstname.lastname@example.org or @NandiniSukumar on Twitter
To contact the editor responsible for this story: Andrew Rummer at email@example.com