NYSE Sells to Rival Exchange for $8.2B

Iconic 220-year-old exchange sells to competitor
By Kevin Spak,  Newser Staff
Posted Dec 20, 2012 7:55 AM CST
NYSE Sells to Rival Exchange for $8.2B
In this Oct. 29, 2012 file photo, the floor of the New York Stock Exchange is empty of traders in New York.   (AP Photo/Richard Drew, File)

InterContinentalExchange Inc. has agreed to buy NYSE Euronext, the company that owns the New York Stock Exchange, for $8.2 billion, the two companies announced this morning. ICE, an Atlanta-based commodity exchange, says it intends to leave the NYSE's branding alone, and would explore an IPO for Euronext, spinning it off into a continental European entity, the Wall Street Journal reports. It will pay $33.12 a share for the elder exchange, or about a 37% premium on yesterday's close.

You might remember ICE from its last attempt to buy the NYSE, which failed thanks to antitrust concerns from regulators. While the 12-year-old company may lack the name recognition of the iconic NYSE, it's much larger in terms of market capitalization, at $9.3 billion to NYSE Euronext's $5.8 billion—a sign, the New York Times observes, of how completely commodity trading has outpaced stock trading in relevance. (More InterContinentalExchange stories.)

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