LSE Down After Dubai Sells Share in Exchange

Amid the market’s slump, the biggest faller in the FTSE 100 is London Stock Exchange.

Its shares are down 239p or more than 9% at £22.99 having fallen as low as £22.63, following news that that Borse Dubai – its largest shareholder – had sold its entire 17.4% stake.

According to Reuters the sale was done at £22.50 a share, worth about £1.36bn. It told Reuters it had decided on the disposal as LSE shares were at an all time high and it was “the appropriate time to monetise” the investment.

Its holding in the LSE goes back to 2007, made as part of a complex deal also involving Nasdaq which helped see off an attempt by Qatar’s sovereign wealth fund from taking control.

It last sold shares in September 2014, disposing of a 3.1% stake and saying at the time it remained a long term supportive shareholder.

But since then LSE shares have soared, partly on the prospects for continued consolidation in the exchange sector.

via The Guardian

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza