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SEC, European regulators agree on market oversight of NYSE Euronext

SEC, European regulators agree on market oversight of NYSE Euronext

U.S. and European regulators announced Thursday a market oversight agreement related to the $14.3 billion (euro11.02 billion) acquisition of Paris-based stock-market operator Euronext NV by the parent company of the New York Stock Exchange.
Through the memorandum of understanding, the U.S. Securities and Exchange Commission and the College of Euronext Regulators pledged to cooperate "to promote investor protection, foster market integrity, and maintain investor confidence and systemic stability in connection with the regulation of the combined group," according to an SEC release.
The memorandum confirmed that the deal will not result in foreign companies being subject to the domestic laws of any of the countries where the exchanges are based. Euronext operates exchanges in Paris, Belgium, the Netherlands and Portugal.
NYSE Group Inc.'s acquisition of Euronext would create the world's largest stock market and the first trans-Atlantic financial market.
Shareholders of both exchanges approved the deal last month, and it is expected to close within the current quarter.
The regulators' agreement will not go into effect until Euronext declares that the thresholds for acceptance of the NYSE Euronext offer have been reached, according to the SEC.
The members of the College of Euronext Regulators are: Authority for the Financial Markets in the Netherlands; Autorite des Marches Financiers in France; Banking Finance and Insurance Commission in Belgium; Comissao do Mercado de Valores Mobiliarios in Portugal; and Financial Services Authority in the United Kingdom.
Shares of NYSE Group slid $1.23 to $99.96 in afternoon trading on the Big Board.


Updated : 2021-03-03 08:00 GMT+08:00