Nasdaq pulls out of Oslo Bors race leaving the way clear for Euronext
Nasdaq has bowed out of the race for Norwegian exchange Oslo Bors, leaving the way clear for pan-European exchange Euronext to pursue its bid.
Euronext received approval from Norway’s finance ministry earlier this month to buy more than 50 per cent of Oslo Bors for 158 Norwegian crowns per share, effectively blocking Nasdaq’s bid.
Read more: Euronext shareholders approve Oslo Bors takeover
Both Nasdaq and Euronext valued Oslo Bors at around 6.8bn Norwegian crowns (£620m).
Euronext, which runs exchanges in Paris, Amsterdam, Brussels, Lisbon and Dublin, gained the support of over half of Oslo Bors’ shareholders shortly after its surprise 24 December offer at 145 Norwegian crowns per share.
Neither Olso Bors’ management, financial services firm DNB, which holds a 20 per cent stake, or insurer KLP, which holds a 10 per cent stake, had been consulted about Euronext’s approach and began looking for an alternative bidder.
Nasdaq joined the race in late January, driving up the price to 158 Norwegian crowns per share, but it was unable to overcome Euronext’s level of shareholder support.
Read more: Norway all but hands victory to Euronext in Oslo Bors battle
Nasdaq’s failure prevents it adding to its presence in the Nordic-Baltic region where it already owns the stock markets of Denmark, Sweden, Finland, Iceland, Latvia, Estonia and Lithuania.
DNB and KLP, which had pledged their support to Nasdaq, said they had not decided whether to sell their shares to Euronext at this stage.
Euronext said it aims to complete the deal by June and will add Oslo Bors’ chief executive to its management board.