LSE looks east after Nasdaq bid fails

The London Stock Exchange is set to forge an alliance with Tokyo after seeing off a hostile £2.9 billion bid from US stockmarket Nasdaq.

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LSE looks east after Nasdaq bid fails

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Nasdaq's bid for the LSE lapsed on Saturday after only 0.41% of the UK stock exchange's shareholders accepted its £12.43 a share offer.

Shares in the LSE slipped eleven pence in early trading Monday to stand at £12.71. The LSE issued a statement saying it would seek new collaborative alliances "without the distraction of ill-considered approaches which fail to understand the value of the business".

Nasdaq chief Bob Greifeld, who expressed disappointment at the rejection of the bid, has hinted that he may hold on to the US exchange's 29.16% stake in the LSE with a view to resurrecting the offer in 12 months time.

With the way cleared for the LSE to seek new partners, Taizo Nishimuro, president of the Tokyo stock exchange, is expected to visit London later this month with a view to constructing an operational alliance similar to that recently agreed with the New York Stock Exchange.

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