Banking, finance, and taxes
After ICE-NYSE Merger, Will CME Try to Buy NASDAQ?
Published:
Last Updated:
The real value here is not just the floor operation of the New York Stock Exchange. In fact, that may actually be a drag holding the NYSE value down to under $8 billion today. To prove the point, the NYSE share price of $32.00 and change after the buyout compares to a share price peak above $90 back in 2007 before the recession.
This begs a question. With exchange mergers continuing to take hold, will CME Group Inc. (NASDAQ: CME) with its $17 billion market value go after the Nasdaq OMX Group Inc. (NASDAQ: NDAQ) and its $4.3 billion market value. The CME competes against ICE and the NASDAQ and NYSE are longstanding rivals. The NASDAQ and ICE were looking for a NYSE bid in 2011 and the Deutsche Boerse merger with NYSE was blocked. Recent reports showed that the CME was interested in buying the NYSE.
This brings up a simple yet serious question. Will CME go after NASDAQ? The answer is not so simple. Stay tuned. The global consolidation of financial exchanges is not yet finished.
JON C. OGG
Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
