CME and NEX Group announced an agreement in which CME Group will acquire NEX in a transaction valued at some $5.4 billion. (£10 per share, consisting of 500 pence in cash and 0.0444 CME Group shares, based on CME’s closing share price of US$158.84 on March 28, 2018 and the exchange rate of US$1.4101:£1, on March 28, 2018).
The proposed transaction has been approved unanimously by the board of directors of both companies and is expected to close in the second half of 2018. The acquisition will combine cash, futures and OTC marketplaces, as well as expand clearing services.
CME chair and CEO Terry Duffy noted that the exchange’s technology platform and NEX’s presence in Europe and Asia will broaden the distribution network in spot and futures FX products as well as cash, repo and futures products in US Treasuries.