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A takeover by Hong Kong Exchanges and Clearing (HKEX) would have created the world’s third-biggest stock exchange behind the New York Stock Exchange and the Nasdaq in terms of the value of companies listed on those markets, according to the operators’ data.
“Today, disappointingly, we announced our decision not to proceed with a firm offer for London Stock Exchange Group
(LDNXF),” said Charles Li, CEO of HKEX
(HKXCF), in a blog post. “We still believe the strategic rationale for the combination of our two businesses is compelling and would create a world-leading market infrastructure group.”
However, Li said pursuing a “combination of the two businesses would not be in the best interests of our own shareholders.”
In a statement, the board of the London Stock Exchange Group noted the announcement and said it would continue with its planned acquisition of Refinitiv, a financial data provider. Its shares fell by nearly 5%.