Deals
HKEX Unexpectedly Ditches Bid for London Stock Exchange
- LSE shares down about 6.7% after retreat by Hong Kong rival
- London bourse ‘remains committed’ to its Refinitiv takeover
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Hong Kong Exchanges & Clearing Ltd. abruptly dropped its 29.6 billion-pound ($36.2 billion) unsolicited takeover bid for London Stock Exchange Group Plc after opposition from the U.K. company and a cool reception from Beijing.
HKEX’s board, which met over a public holiday on Monday after a weekend of violence, was concerned by the lack of engagement from the LSE, weeks after it initially approached the company, people familiar with the matter said. The proposal didn’t get support in China, where the official People’s Daily pointed to “persistent worries” about Hong Kong given the current unrest, and instead promoted LSE’s existing tie-up with the Shanghai Stock Exchange. HKEX declined to comment.