The value of the planned deal by IntercontinentalExchange Inc.
(ICE) to buy NYSE Euronext (NYX) passed $10 billion Friday as both
stocks hit 52-week highs.
The indicative valuation is based on the cash-and-stock offer
made by ICE in December and used by the Atlanta-based company to
track its progress. ICE also made a cash-only offer.
Exchange stocks have rallied as market volatility has pushed up
trading volumes in many asset classes, and ICE shares reached their
highest level since December 2007 during Friday's session. NYSE
Euronext hit a two-year high.
The two companies aim to complete a deal in the second half of
2013 that would create the world's largest exchange operator by
revenue and market value, subject to regulatory and shareholder
approval.
ICE shares were recently trading up 1% at $173.30 and NYSE
Euronext's shares were 0.7% higher at $40.62. These prices value
the proposed cash-and-stock offer at $10.07 billion, based on
NYSE's fully diluted share count.
The most expensive exchange deal to date was the $11.07 billion
purchase of the parent of the New York Mercantile Exchange by CME
Group Inc. (CME) in 2008.
-By Doug Cameron, Dow Jones Newswires; 312-750-4135;
doug.cameron@dowjones.com
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