Pedestrian passes the Italian stock exchange, Borsa Italy, which is part of the London Stock Exchange Group plc, in Milan Italy, on Thursday, October 8th, 2020.
Camilla Seria | Bloomberg by Getty Images
LONDON – The London Stock Exchange on Friday agreed to sell Milan’s Borsa Italy stock exchange to Euronext for 3.3 billion euros.
The LSE confirmed that it had an exclusive discussion last month with Pan-European business operator operator Euronext about the sale of the Borsa Italian group.
Given the terms of the transaction proposed by the European Union’s executive arm, the LSE provider has reached 27 27 billion after reaching certain conditions to buy a data provider refinitive.
The sale of Borsa Italina goes through a refinancing transaction, among other things.
“We continue to make good progress on highly lucrative refinancing transactions and we are delighted to have reached this important milestone,” LSE Group CEO David Schwimmer said in a statement on Friday.
He added, “We believe that the sale of Borussia Italy’s group will significantly contribute to overcoming EU competition concerns.”
The LSE said it expects Borsa Italy’s transactions to pass in the first six months of next year, by the end of 2020 or early 2021.
“We look forward to advancing to the next stage of our history, working in partnership with Euronext, CDP Equity and Intesa Sanpolo to further develop our business and contribute to the growth of European capital markets,” said Rafael Jelusa, CEO of Borsa Italy.
The sale of Euronext to Borsa Italina is seen as politically sensitive in Italy, due to Borsa’s ownership of MTS, a bond platform that conducts electronic trading of Italian government bonds and other types of fixed income securities.
Euronext has partnered with Intesa Sanpao, Italy’s largest bank, and the state agency CDP in an effort to win the support of the Roman government.
Stephen Buznah, CEO of Ciro and chairman of Euronext’s managing board, called the deal a “significant achievement” in the firm’s strategic plan, “and a turning point in our group’s history.”
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