Did the EU just kill the British-German merger of exchanges because of Brexit and Article 50?

On March 28 UK Prime Minister Theresa May officially signed Article 50, setting in motion the process for Britain to officially leave the European Union.  And on Wednesday that paperwork was handed over to EU officials, thus beginning what is expected to be a two year process to both dissolve and re-entreaty different agreements that may or may not extend beyond their former privileges in the continental coalition.

However as expected, the bureaucrats in Brussels did not take Britain’s leaving their dominion very well, as there has been extensive jawboning about how much the UK should pay for divorcing the EU, as well as threats to their banks and businesses in being able to conduct business with other EU members.  And while much of this makes for good political theater, one event on March 29 has to be looked at as a possible retaliation for getting out from under the Union’s grasp.

That is because on the exact day that Britain handed off Article 50 to the European Parliament, EU regulators nixed a proposed merger that would have joined the Deutsche Bourse with London market exchanges, and would have created the largest single equity market in Europe.

EU antitrust regulators have rejected the proposed €29 billion ($31.3 billion) merger of Deutsche Boerse and the London Stock Exchange (LSE). The combined exchange would have become the largest in Europe.

“The Commission cannot allow the creation of monopolies, and that is what would have happened in this case,” Margrethe Vestager, the EU’s antitrust commissioner, told reporters in Brussels.

According to Vestager, the LSE was “not prepared” to sell the Paris arm of its clearing house LCH. A merger without selling the unit would have hit rival Euronext NV. Euronext NV is a European stock exchange based in Amsterdam, Brussels, London, Lisbon, and Paris.

“As the parties failed to offer the remedies required to address our competition concerns, the Commission has decided to prohibit the merger,” Vestager said.

“The prohibition is a setback for Europe, the Capital Markets Union and the bridge between continental Europe and Great Britain,” Deutsche Boerse Chairman Joachim Faber said in a statement emailed to Bloomberg.

“A rare opportunity to create a global market infrastructure provider based in Europe and to strengthen the global competitiveness of Europe’s financial markets has been missed,” he added. – Russia Today

Talks to merge the two markets began in February of last year, but hit a roadblock in June following the British people’s decision to vote for an exit of the Eurozone.  And today’s announcement by the EU to cancel the merger on the official day of Brexit creates an interesting dichotomy that in the end will be worse for the coalition as the UK can now look Eastward and seek market partnerships with China or even Russia in their own growing economic unions.

With Britain soon to be disconnected from EU authority, the battle between London and Frankfurt got a little more interesting as to who will win the right to control China’s RMB expansion in the European theater when just hours earlier it appeared that they may have done this jointly through a historic merger.

One comment

  1. Como Gelar A Cerveja Rápido

    Prestem atenção nessa dica, pois eu testei ela num churrasco
    esse termo de semana, e também fiquei bastante satisfeito! Aliás, uum
    congratulação próprio aoo Guiga ( @filhodopadeiro ) do Tuudo Sobre Facebook , que me passou esse conhecimenmto milenar!

    A medida de qualquer um desses ingredientes dependerá da quantidade de cervejaa que se pretende gelar.
    Mas via de regra, seria um saco dee gelo, um l de chuva, um litro de álcool e meio quilo de
    sal. Depois de colocar todos e cada um dos ingredientes num recipiente,
    basta acomodar as latas/garrafas de cerveja e aguardar
    por retornamento de 3 minutos. Vocêpoderá proporcionalizar essas
    medidas conforme a quantidade de cerveja qque preetende gelar.

    sal se dissolve facilmente na água e também reduz seu ponto dee refrigeração.
    Pura, a água congela soobre 0 ºC. Já a chuva com sal precisa de uuma temperatura menor,
    que pode chegar a dezenas de graus abaixo de zero.

    Quando sal é disposto no gelo, secção dos cubos derretem, roubando” callor durante a troca de estado físico e
    esfriando a mistura como um todo. Ou ppor outra, sal dissolvido provoca uma reação endotérmica, quer dizer, reduz mas
    a temperatura daa mistura. álcool possui umm papel
    semelhante: derrete gelo roubando” calor e diminui ainca mas
    mancha dde refrigeração. É empregado porque enquanto a temperatura permanecer
    menos -9 ºC, sal perde algo do efeito, porém álcool não.

    De olho no relógio: alumínio ébom condutor de calor, e também 3 minutos
    são suificientes para ass latinhas mergulhadas
    enconhtrem estabilidade térmico. Como a temperatura resta aquém zero, posteriormente poucos minutos, a grito vai
    estar tão gelada que não vai conceder para senfir gosto e também peria
    congelar. Deixe toalha de pzpel aspirar bem a água, e em seguida, leve
    as cervejas para refrigerador. A água no
    papel vai gelificar rápida, formando uma camada de gelo que esfria a licor.

    Informação: tomem cuidado, porque dependendo do freezer a cerveja pode gelar numa rapidez
    absurda, deixando sua cerveja congelada, que não é lítico.
    Mini Refrigeraados USB Mas um gadget alcoólico para você não perder a maré dde tomar uma cervejinha
    geladésima no recreio do seu trabalho. Há nem tinha visto… a do
    nitrogênio é a melhor (moleza de localizar) hahahahahha magnífico.
    adicionei aos favoritos…. E quee pergunta lá em ciima do
    Leandro. Não funciona coom outras bebidas não, só cerveja que gela, aas outras se coolocar esquenta! http://cervejeiromestre.com.br/cerveja/

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