Tom Young, Computing, Monday 21 December 2009 at 12:03:00
LSE IT chief David Lester tipped to be head of new joint venture
The London Stock Exchange (LSE) announced this morning that it will take The LSE will merge the platform with its own Baikal operation, to create "a The merged entity will be 60 per cent owned by LSE and 40 per cent by Xavier Rolet, chief executive of the LSE, said: "Turquoise's existing The exchange will incur exceptional costs of up to �20m in the current Turquoise was set up by a consortium of investment banks following But the banks were no longer willing to fund the unprofitable platform after Christopher Morris, director of consultancy Aequitas Associates, told the The LSE will fully fund the cash needs of the new venture for the first two David Lester, the LSE's head of IT,
control of rival trading platform Turquoise.
new pan-European trading venture".
existing Turquoise shareholders and will continue to trade under the Turquoise
name.
pan-European footprint is a strong proposition and together with the
introduction of new trading technology and a neutral structure, we believe it is
now well positioned to be an agent of change and to capture a healthy slice of
the market's growth potential."
financial year, comprising the write-off of legacy technology costs, and other
restructuring and integration costs, including contract exit costs.
deregulation, and was an attempt to force traditional exchanges such as the LSE
to lower trading fees. It began operating around 18 months ago.
being hit hard by the recession. The deal this week is being seen by some in the
City as a political move by the LSE to make peace with the banks.
Financial Times: ?It is rebuilding goodwill with the banking community
that will be the most valuable asset.?
years and says it wants to bring the business to sustainable profitability.
has
been tipped as the head of the new joint venture, which is expected to be
run as an independent operation.
Full story at http://www.computing.co.uk/computing/news/2255350/lse-buys-turquoise
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