- 13th September 2019
- Posted by: Muff lbr
- Category: Business plans, International
- The LSE said it was “surprised and disappointed” that the Hong Kong Exchange had published its “unsolicited proposal” within two days of making the LSE aware of its plans.
- HKEX had proposed £20.45 a share in cash for the deal, as well as 2.495 newly issued HKEX shares.
The LSE said in a statement that it has fundamental concerns about key aspects of the proposal.
“Accordingly, the board unanimously rejects the conditional proposal and, given its fundamental flaws, sees no merit in further engagement,” the LSE said in a statement.
LSE shares were trading up 1.6% at 7,370 pence after the statement, little changed from earlier levels.
HKEX made its £29.6 billion ($36.8 billion) offer on Wednesday and it has been coolly received by shareholders so far, though analysts expect the Asian exchange to return with an improved proposal.