BNP Paribas opposes Euronext-NYSE deal: report

5th June 2006, Comments 0 comments

PARIS, June 5, 2006 (AFP) - BNP Paribas, the biggest French bank by market capitalisation, opposes a merger of pan-European stock market operator Euronext and the New York Stock Exchange, the Financial Times reported Monday.

PARIS, June 5, 2006 (AFP) - BNP Paribas, the biggest French bank by market capitalisation, opposes a merger of pan-European stock market operator Euronext and the New York Stock Exchange, the Financial Times reported Monday.

A spokesman for BNP Paribas later denied the story, saying: "BNP Paribas does not have a preference for one or other of the current merger proposals involving Euronext."

Dominique Hoenn, the vice-chairman of Euronext and senior advisor at BNP Paribas, voted against a merger of Euronext and NYSE at a board meeting of Euronext, the FT reported before revealing Hoenn's close ties with Germany's Deutsche Boerse.

BNP Paribas owns about one percent of Euronext, but is part of a shareholder pact comprising French banks Société Générale, Dexia, Crédit Agricole and state-owned CDC. The pact controls about 10 percent of Euronext.

The newspaper cited a senior executive at one of the other banks in the pact who said that BNP Paribas was the only member directly opposed to the deal. The source said that the chairman of BNP Paribas, Michel Pebereau, preferred a deal between Euronext and Deutsche Boerse to create a big eurozone market operator.

The New York Stock Exchange said last Thursday that it would offer to buy Euronext with a mix of cash and stock, creating the first trans-Atlantic exchange and potentially isolating Deutsche Boerse, which had also sought a merger with Euronext.

Copyright AFP

Subject: French news

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