Telegraph: LSE looks at options to thwart Nasdaq

21 September 2006

The London Stock Exchange is assessing its strategic options, just two weeks before Nasdaq can make a fresh bid. Chief executive Clara Furse is spearheading the push to ensure that all avenues are explored, including a potential tie-up with OMX or whether it would be feasible to work with a 'white knight' private equity bidder.

The assessments come ahead of October 3, when Nasdaq, which has built a 25.3% stake in the LSE, is able to bid again for the exchange.

The series of options covers a wide range of possibilities, from a merger with OMX, the Scandinavian exchange which has just bought the Icelandic stock exchange, to the potential of remaining independent through the use of a private equity buy-out.

The LSE is also looking at whether there would be any benefit to trying to gatecrash the proposed merger between the New York Stock Exchange and Euronext.

© Daily Telegraph