Nasdaq OMX Group is taking an equity stake in Turkey’s Borsa Istanbul, as part of a deal that envisions the creation of a capital markets hub for the Eurasia region.
The exchanges announced that they have concluded a wide-ranging agreement, which includes the delivery of Nasdaq’s market technologies and advisory services to Borsa Istanbul. It will integrate and operate Nasdaq OMX’s suite of systems for trading, clearing, market surveillance and risk management, covering all asset classes. They also agreed to work together closely to establish Borsa Istanbul as the capital markets hub for the region.
As part of the agreement, Nasdaq will take a 5% equity stake in Borsa Istanbul, with an option to increase this by an additional 2%; Nasdaq OMX will also receive a series of cash payments.
“We are pleased to be working side-by-side with Borsa Istanbul as they evolve toward becoming an international hub that will attract global investors to the Eurasia region,” said Bob Greifeld, CEO of Nasdaq OMX.