-NYSE Euronext to remain the largest shareholder of NYSE Amex options-
NYSE Euronext Announces Plans to Sell Significant Equity Stake in NYSE Amex Options Market to Leading Liquidity Providers and Market Making Firms
-Anticipated to make NYSE Amex options a leading venue-
New York, Sept. 9, 2009 – NYSE Euronext (NYX) today announced it has agreed in principle on a framework with leading liquidity providers and market making firms —BofA Merrill Lynch, Barclays Capital, Citadel Securities, Citi, Goldman Sachs, TD AMERITRADE and UBS — to sell a significant equity interest in NYSE Amex options, one of the company’s two U.S. options exchanges. NYSE Euronext will remain the largest shareholder in the entity, which aims to enhance the competitive position of NYSE Amex options, while bringing competitive and operational benefits to the marketplace.
The contemplated transaction would call for NYSE Euronext to continue to manage the day-to-day operations of NYSE Amex options, which would operate under the supervision of a separate board of directors and a dedicated chief executive officer. The contemplated transaction is subject to the negotiation and execution of final legal documentation and obtaining the requisite regulatory approvals. NYSE Euronext anticipates that the transaction could be completed by the end of 2009.
“This partnership will further align our business interests with those of our customers, and makes NYSE Amex options an even more compelling trading venue within an increasingly competitive marketplace,” said Duncan L. Niederauer, Chief Executive Officer, NYSE Euronext. “We welcome this shared commitment to deliver the highest levels of innovation and market quality to our options trading platform.”
Edward Boyle, Senior Vice President, U.S. Options for NYSE Euronext, added: "Market participants will benefit from tighter spreads, deeper liquidity, superior technology, and the distinct market model of NYSE Amex options. We plan to continue to enhance technology and quoting speed, building upon existing service offerings, and introducing new products and order types to generate future order flow."
The contemplated transaction is expected to enable NYSE Amex options to offer customers deep liquidity delivered by many of the world’s leading market makers on an exceptional technology platform. NYSE Amex options also anticipates making other services available, including the facilitation of open-outcry orders.
About NYSE Euronext
NYSE Euronext (NYX) is a leading global operator of financial markets and provider of innovative trading technologies. The company's exchanges in Europe and the United States trade equities, futures, options, fixed-income, and exchange-traded products. With more than 8,000 listed issues, NYSE Euronext's equities markets -- the New York Stock Exchange, Euronext, NYSE Arca and NYSE Amex -- represent nearly 40 percent of the world's equities trading, the most liquidity of any global exchange group. NYSE Euronext also operates NYSE Liffe, the leading European derivatives business and the world's second-largest derivatives business by value of trading. The company offers comprehensive commercial technology, connectivity and market data products and services through NYSE Technologies. NYSE Euronext is in the S&P 500 index, and is the only exchange operator in the S&P 100 index and Fortune 500. For more information, please visit: http://www.nyx.com
Cautionary Note Regarding Forward-Looking Statements
This press release may contain forward-looking statements, including forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements concerning NYSE Euronext’s plans, objectives, expectations and intentions and other statements that are not historical or current facts. Forward-looking statements are based on NYSE Euronext’s current expectations and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such forward-looking statements, including that there can be no assurances that the parties will enter into definitive agreements. Factors that could cause NYSE Euronext’s results to differ materially from current expectations include, but are not limited to: NYSE Euronext’s ability to implement its strategic initiatives, economic, political and market conditions and fluctuations, government and industry regulation, interest rate risk and U.S. and global competition, and other factors detailed in NYSE Euronext’s reference document for 2008 (“document de référence”) filed with the French Autorité des Marchés Financiers (Registered on April 28, 2009 under No. R. 09-031), 2008 Annual Report on Form 10-K and other periodic reports filed with the U.S. Securities and Exchange Commission or the French Autorité des Marchés Financiers. In addition, these statements are based on a number of assumptions that are subject to change. Accordingly, actual results may be materially higher or lower than those projected. The inclusion of such projections herein should not be regarded as a representation by NYSE Euronext that the projections will prove to be correct. This press release speaks only as of this date. NYSE Euronext disclaims any duty to update the information herein.