UK consumer watchdog approves NYSE/Euronext tie-up

The UK’s Office of Fair Trading (OFT) has cleared the merger between the New York Stock Exchange (NYSE) and the European exchange operator Euronext.

The UK’s consumer watchdog said it had decided not to refer the deal to the UK’s Competition Commission.

The OFT focused its inquiry on the impact of the merger on UK customers, in particular the impact on listing and equities trading. The watchdog concluded that no relevant competition concerns were raised.

“While a number of third parties raised concerns, these either did not relate to the prospect that the merger would substantially lessen competition in the UK, or were otherwise unpersuasive in light of the weight of evidence available,” the OFT stated.

Euronext has agreed to merge with NYSE, subject to the approval of shareholders. However, The Children's Investment Fund, which owns 10% of Euronext, said it was backing a rival bid from Deutsche Börse.