NYSE_Euronext

NYSE Euronext, Inc.
Company type	Subsidiary
Industry	Financial services
Predecessors	NYSE Group, Inc.; Euronext N.V.
Founded	April 4, 2007; 17 years ago
Defunct	2013
Fate	Acquired by Intercontinental Exchange, Euronext later spun off
Headquarters	11 Wall Street, New York, New York (state), United States
Area served	United States, European Union
Key people	Duncan L. Niederauer; (CEO)
Services	Derivatives, equity trading platforms, futures and options markets, market data, securities exchanges
Revenue	US$3.75 billion (2013)
Operating income	US$850 million (2011)
Net income	US$619 million (2011)
Total assets	US$13.07 billion (2011)
Total equity	US$6.581 billion (2011)
Number of employees	3,061 (2012)
Parent	Intercontinental Exchange
Divisions	New York Stock Exchange,; Euronext (Amsterdam, Paris, Brussels, Lisbon),; NYSE Arca, NYSE Liffe, NYSE Technologies
Website	NYX.com

NYSE Euronext

Euro-American multinational financial services corporation

NYSE Euronext, Inc. was a transatlantic multinational financial services corporation that operated multiple securities exchanges, including the New York Stock Exchange, Euronext and NYSE Arca (formerly known as ArcaEx). NYSE merged with Archipelago Holdings on March 7, 2006, forming NYSE Group, Inc.^[2] On April 4, 2007, NYSE Group, Inc. merged with Euronext N.V. to form the first global equities exchange, with its headquarters in Lower Manhattan.^[3] The corporation was then acquired by Intercontinental Exchange, which subsequently spun off Euronext.^[4]

Quick Facts Company type, Industry ...

Mergers and acquisitions

Attempted merger between NYSE Euronext and Deutsche Börse

In 2011, Bloomberg reported that the German exchange operator Deutsche Börse was in advanced talks to buy NYSE Euronext for $9.53 billion in a deal that would create the world's largest trading powerhouse.^[17] The shares of both companies were temporarily frozen on the news due to the risk of large price movements and clarifications of the deal. A successful deal would see the new company becoming the world's largest stock exchange operator with a market capitalization of listed companies equal to $15 trillion.^[18]

The proposed group would have dual headquarters, in Deutsche Boerse's newly built green tower near Frankfurt, Germany, and in New York City at 11 Wall Street. It would be led by a board with seventeen members, fifteen directors plus the chairman and the CEO. Of the fifteen directors, nine to be designated by Deutsche Boerse and six by NYSE Euronext. Current NYSE Euronext CEO Duncan Niederauer would assume the same role with the newly founded company and would lead an executive committee with an equal number of current Deutsche Boerse and NYSE Euronext executives.^[19]

On July 7, 2011, NYSE Euronext shareholders voted in favor of the merger, and on July 13, 2011, Deutsche Boerse shareholders approved the deal as well. These decisions move the two sides closer to completing the transaction, which must still pass through forty separate regulatory approval processes to be finalized.^[20]

The merger was subject to review in both the United States and with the European Union (EU) for concerns it could create a "de facto monopoly".

In October 2011, CEO Niederauer said the company had received the EU's so-called statement of objections, which was more than 100 pages long, and would be responding within two weeks, possibly by asking for the opportunity for an oral hearing with the regulators. The EU examination of the proposal formally began June 29 has said its expanded probe has a Dec. 13 deadline. In March, Joaquín Almunia, the EU's antitrust commissioner, expressed concern that the deal would maybe monopolize the derivatives market due to Deutsche Boerse's "vertical silo" which routes all trade clearing through its own services. Almunia said then he preferred a "more open business model" for markets.^[21]

On December 22, 2011, Deutsche Boerse won U.S. antitrust approval to buy NYSE Euronext, on condition that a Deutsche Boerse subsidiary, the International Securities Exchange, divest its 31.5 percent interest in Direct Edge.^[22] NYSE Euronext and Deutsche Boerse AG delayed the deadline for completing their merger until March 31, 2012, so the exchange operators could try to persuade European regulators to approve the deal.^[23]

On February 1, 2012, the European Union blocked the planned merger between NYSE Euronext and Deutsche Boerse. The European Commission—the EU's executive body—ruled against the merger because, they said, the combined exchange would control more than 90% of the trade in European derivatives. The European Commission report stated, "The merger between Deutsche Boerse and NYSE Euronext would have led to a near-monopoly in European financial derivatives worldwide... These markets are at the heart of the financial system and it is crucial for the whole European economy that they remain competitive".^[24]

On February 2, 2012, the NYSE Euronext and Deutsche Börse agreed with strong opposition by the EU for the planned merger, to scrap the merger.^[25]

Company structure

Derivatives

The Derivatives segment consists of NYSE Euronext's derivatives trading and clearing businesses. This includes NYSE Liffe, NYSE Liffe Clearing, NYSE Liffe US, NYSE Amex Options, NYSE Arca Option, and related derivatives market data.^[30]

NYSE Liffe

NYSE Liffe comprises the derivatives market operated by LIFFE Administration and Management, Euronext Amsterdam, Euronext Brussels, Euronext Lisbon, and Euronext Paris. It offers customers the advantages of one of the most technologically advanced derivatives trading platforms as well as one of the widest choices of products of any derivatives market.^[30]

Through a single electronic trading platform, NYSE Liffe offers customers access to a wide range of interest-rate, equity, index, commodity and currency derivative products. This platform has been designed to handle significant order flows and transaction volumes. Orders can be matched either on a price/time or pro rata basis, configurable by contract, with transacted prices and volumes and the aggregate size of all bids and offers at each price level updated on a real-time basis. Users can continually notified of all active orders in the central order book, making market depth easy to monitor.^[30]

NYSE Liffe also offers its customers the Bclear and Cscreen services, which bridge the listed and over-the-counter (OTC) markets. This provides a simple and cost-effective way to register and process wholesale derivatives trades through NYSE Liffe to clearing at NYSE Liffe Clearing. Following the launch of NYSE Liffe Clearing, NYSE Liffe assumed full responsibility for clearing activities on its own London market.^[30]

NYSE Liffe US, NYSE Euronext's U.S. futures exchange, makes available for trading full- and mini-sized gold and silver futures, options on full-sized gold and silver futures and futures on Morgan Stanley Capital International (MSCI) Indices. A significant minority equity stake in NYSE Liffe US is held by six external investors: Citadel Securities, DRW Investments, Getco, Goldman Sachs, Morgan Stanley and UBS. Under this ownership structure, NYSE Euronext remains the largest shareholder in the entity and consolidates its financial reporting. NYSE Euronext manages the day-to-day operations of NYSE Liffe US, which operates under the supervision of a separate board of directors.^[30]

Cash Trading and Listings

The Cash Trading and Listings segment includes the New York Stock Exchange, Euronext, NYSE Amex, NYSE Arca, NYSE Alternext, NYSE Arca Europe, SmartPool, BlueNext, and NYSE Blue, as well as related cash trading market data.^[30]

Global marketing and branding

NYSE Euronext maintains an active marketing campaign, both for its own brand, as well as for its listed companies. The Global Marketing and Branding department is responsible for the full spectrum of NYSE Euronext's brand marketing, including advertising, marketing communications, event management, and market research.^[34]

Through the NYSE Global Partnership Program, NYSE Euronext has created a series of strategic resources to support its listed companies' growth initiatives, so as to act as a conduit that enables them to reach new and important audiences.^[35] NYSE Euronext's 8,000 listed issues provide members with an extensive network of global investors and business leaders with which to interact. The company offers opportunities for co-branded advertising, linking listed companies to one another, as well as to the powerful brand that is NYSE Euronext.^[36]

Events

The Events department of NYSE Euronext is responsible for coordinating bell ceremonies, receptions, conferences, and street events. Beginning in 2010, the NYSE Euronext opened its doors to non-listed companies to utilize NYSE facilities for after-hours events.

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This article uses material from the Wikipedia article NYSE_Euronext, and is written by contributors. Text is available under a CC BY-SA 4.0 International License; additional terms may apply. Images, videos and audio are available under their respective licenses.

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"With approximately 8,000 listed issues (excluding European Structured Products), NYSE Euronext's equities markets – the New York Stock Exchange, NYSE Euronext, NYSE Amex, NYSE Alternext and NYSE Arca – represent one-third of the world's equities trading, the most liquidity of any global exchange group". Archived from the original on 2014-02-17. Retrieved 2017-09-05.

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"On April 3, 2007, NYSE Group and Euronext completed their historical business combination to create NYSE Euronext, the world's leading and most liquid exchange group".^{[permanent dead link]}

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Euronext N.V. Annual report for the year 2007

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"Deutsche Boerse AG's $9.53 billion all-stock purchase of New York Stock Exchange parent NYSE Euronext creates the world's largest owner of equities and derivatives markets, and may spur additional mergers".^{[dead link]}

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"While the merged entity will list corporations with about $15 trillion in value, more than any other exchange, what may prove more lucrative is ownership of growing venues for trading futures and options, said Rich Repetto, a New York-based analyst at Sandler O'Neill & Partners LP".^{[dead link]}

[19] [19]
"The group will have dual headquarters, in Deutsche Boerse's newly built green tower near Frankfurt and in New York, at 11 Wall Street, home to the iconic New York Stock Exchange trading floor, and would take advantage of its existing global operations. The Company would be led by a one-tier board with 17 members – 15 directors plus the Chairman and the CEO. Of the fifteen directors, nine would be designated by Deutsche Boerse and six by NYSE Euronext. Reto Francioni would be Chairman, and would also be responsible for group strategy and global relationship management. Duncan Niederauer would be Chief Executive Officer and would lead an Executive Committee with an equal number of current Deutsche Boerse and NYSE Euronext executives".

[20] [20]
"Deutsche Boerse AG (DB1.XE) on Thursday secured shareholder backing for its planned merger with NYSE Euronext (NYX), focusing attention on efforts to win regulatory clearance for what would be the world's largest exchange operator. Investors in both companies placed faith in the ability of exchange executives to shepherd the combination through a gauntlet of more than 40 separate regulatory approval processes – including a lengthy review by the European Union – without ceding too many concessions that might dilute is planned benefits".^{[dead link]}

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"As the Global Head of Marketing & Branding for NYSE Euronext, Marisa Ricciardi plays a key role in the strategic development and implementation of the company's branding and communications. Her group is responsible for the full spectrum of NYSE Euronext's brand marketing, including advertising, marketing communications, event management and market research targeting a range of constituents across the globe". Archived from the original on 2012-06-07.

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"Through the NYSE Global Partnership Program, we've created a series of strategic resources to support our listed companies' growth initiatives, and act as a conduit that enables them to reach new and important audiences. The NYSE Global Partnership Program is designed to provide our listed companies with a turnkey extension to their worldwide promotional and media relations activities". Archived from the original on 2011-07-03. Retrieved 2017-09-05.

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NYSE_Euronext

NYSE Euronext

Overview

Locations

Mergers and acquisitions

NYSE and Archipelago Holdings

NYSE Group and Euronext merger April 4, 2007

NYSE Euronext and NYFIX

Attempted merger between NYSE Euronext and Deutsche Börse

Intercontinental Exchange acquisition of NYSE Euronext

Company structure

Derivatives

NYSE Liffe

NYSE Amex Options

NYSE Arca Options

Cash Trading and Listings

New York Stock Exchange

Euronext

NYSE Amex

NYSE Alternext

NYSE Arca Europe

SmartPool

BlueNext and NYSE Blue

Information Services and Technology Solutions

NYSE Technologies

Marché Libre

NYSE Regulation and FINRA

Libor administration

Global marketing and branding

Events

Opening and closing ceremonies

Experience Square

NYSE Magazine

References

External links

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