Singapore Exchange Buys into Bombay Bourse
SINGAPORE ~ Singapore Exchange (SGX) will acquire a 5-percent stake in the Bombay Stock Exchange (BSE) in a deal worth US$42.7 million, the two exchanges announced this week.
“This strategic tie-up with SGX will offer the Asian advantage to BSE,” said BSE managing director and chief executive Rajnikant Patel.
SGX chief executive Hsieh Fu Hua said the investment in BSE – Asia’s oldest stock exchange – is “consistent with our strategy of building an Asian gateway for securities and derivatives products.”
Both stock exchanges have also agreed to “actively explore collaboration in various areas relating to listings and product development”, they said in a joint statement.
The partnership will take advantage of SGX’s role as a regional hub for derivatives and international listings, and BSE’s strong presence in the giant Indian market.
Patel said the deal with SGX will complement BSE’s alliance with Deutsche Boerse, the operator of the Frankfurt stock exchange which last month agreed to buy 5 percent of BSE for $42.7 million.Filed under: