The New York Stock Exchange Inc. and Archipelago Holdings Inc. have set December 6 as the date when approval will be sought for the proposed NYSE-Archipelago merger.
The NYSE and ArcaEx will hold special meetings of their respective members and stockholders to vote on the deal that was announced back on April 20. The NYSE and Archipelago will begin mailing the joint proxy statement/prospectus and voting materials to their members and equity holders. Also, the NYSE filed with the SEC for publication and approval proposed rules pertaining to the NYSE Group’s corporate structure and governance, trading licenses and other transitional matters.
Completion of the merger requires an affirmative vote of two-thirds of the votes cast by a quorum of NYSE members and a majority of the outstanding shares of Archipelago common stock.
If approved, the merger will represent the largest-ever among securities exchanges and combine the world’s leading cash equities market with the first totally open, fully electronic exchange. As merged enterprises, the NYSE and Archipelago will become wholly owned subsidiaries of NYSE Group Inc., a newly formed, for-profit Delaware corporation that will be a publicly traded corporation.
“We believe that our combination with Archipelago maintains our leadership position and fulfills our goal of becoming a global multi-product marketplace,” said NYSE CEO John Thain. “Our proposed merger gives the exchange a strong platform for future growth, competitive positioning, and value creation. Moreover, this transaction provides significant benefits for all exchange constituents, our members and our customers.”
“This combination will create a dynamic and innovative next generation exchange to the benefit of all investors,” said Jerry Putnam, CEO of Archipelago. “We believe that together, we will be better positioned to serve our clients, compete in the global arena and enhance value for our shareholders.” The NYSE board of directors and Archipelago board of directors have unanimously recommended that NYSE Members and Archipelago stockholders, respectively, vote “for” the approval and adoption of the merger agreement. The parties expect to close the transaction in early 2006.
NYSE, Archipelago set date for merger approval meeting
Merger would be largest-ever among securities exchanges
- By: James Langton
- November 3, 2005 November 3, 2005
- 15:30