Of Special Interest


[x] [x]

4th October 2011

Many interested in London Metals Exchange

The London Metals Exchange has received over 10 expressions of interest in purchasing it. This is thought to include all of the major global financial exchange groups and ICap the interdealer broker.

The London Stock Exchange famously lost out on the acquisition of Liffe, the London derivatives market and there are many in London think it should make sure not to miss out on the LME acquisition. Despite share ownership in the LME being restricted to members it is very probable that price will be the main factor in determining the winning bid. The Financial Times reports on various share trades in the LME leaving Goldman Sachs the largest shareholder followed the by the Bagri Family, owners of Metdist, the metals dealer. These deals were done for profit and a return will be expected. Therefore much will depend on how badly the LSE wants to win this deal and continue with its growth through acquisition, having been recently knocked back in Canada.