LSE pursues ‘holy grail’ of clearing

Article reported that London Stock Exchange shareholders and those of LCH.Clearnet, the Anglo-French clearer, would receive a 169-page offer document in March 2012 setting out the terms of the UK bourse’s proposal to acquire a majority stake in the London-based clearing house.

The move would give the LSE its own clearing house at a time of unprecedented demand for post-trade and risk management services, as regulators push for greater safety in the financial system to help prevent another financial crash.

The deal also sets in motion a complex global game of chess involving LCH.Clearnet, the LSE, and rivals such as NYSE Euronext.

In April 2012 it was reported that the London Stock Exchange was poised to take a controlling stake in LCH.Clearnet after it passed the approval threshold it needed from shareholders.

ESO: Background information: LCH.Clearnet/LSE talks near endgame http://www.europeansources.info/record/lch-clearnet-lse-talks-near-endgame/

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