The pedestrian will pass the Italian stock exchange Borsa Italiana, which is part of the London Stock Exchange Group Plc in Milan, on Thursday 8 October 2020.
Camilla Cerea | Bloomberg via Getty Images
LONDON – The London Stock Exchange agreed on Friday to sell Milan's Borsa Italiana to Euronext for € 4.3 billion.
The LSE confirmed that it had entered into exclusive talks with the European stock exchange operator Euronext about the sale of the Borsa Italiana group last month.
It comes after LSE reaches final terms to purchase Refinitiv data provider for $ 27 billion. The European Commission, the EU's executive branch, has opened an in-depth investigation into the terms of the proposed transaction.
The sale of Borsa Italiana depends, among other things, on the refinitive transaction.
"We are continuing to make good progress on the highly attractive Refinitiv transaction and are pleased to have reached this important milestone," said David Schwimmer, CEO of the LSE Group, in a statement on Friday.
"We believe that the sale of the Borsa Italiana group will go a long way in addressing the EU's competition concerns," he added.
LSE expects the refinitive deal to be completed by late 2020 or early 2021. The transaction with Borsa Italiana is expected to close in the first six months of next year.
LSE shares rose around 0.2% shortly after the opening bell, while Euronext rose more than 0.7% on the news.
"We look forward to entering the next phase of our history in partnership with Euronext, CDP Equity and Intesa Sanpaolo to develop our business and contribute to the development of Europe's capital markets," said Raffaele Jerusalmi, CEO of Borsa Italiana. said on Friday.
The sale of Borsa Italiana to Euronext is considered politically sensitive in Italy as Borsa owns MTS, the bond platform that handles electronic trading in Italian government bonds and other types of fixed income securities.
Euronext has teamed up with Italy's largest bank Intesa Sanpaolo and state agency CDP to secure the support of the government of Rome.
Stephane Boujnah, CEO and Chairman of the Board of Directors of Euronext, described the deal as a "significant achievement" in the company's strategic plan and a "turning point in the history of our group".