British regulator approves LME takeover by HK bourse

29th November 2012, Comments 0 comments

The London Metal Exchange on Thursday said that British regulators had approved its takeover by the Hong Kong Stock Exchange, clearing a key hurdle in a deal worth $2.15 billion (1.65 billion euros).

"The board of directors of LME Holdings are pleased to announce that the Financial Services Authority has given notice in writing... of its approval in respect of HKEx acquiring control over LME Limited through its indirect subsidiary, HKEx Investment," the LME said in a statement.

HKEx is the holding company of Hong Kong Stock Exchange.

The deal was meanwhile expected to become "unconditional and effective on or around December 6" after a British court hearing to finalise the transaction, the two bourses said on Thursday.

LME chief executive Martin Abbott had in October said he was hopeful of completing the takeover by the end of this year.

HKEx has said its purchase of the 135-year-old LME -- the world's largest exchange trading non-ferrous metals, including copper and aluminium -- will strengthen its role as a bridge between China and international markets.

© 2012 AFP

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