Home News Global Markets

CCCS invites public review on London Stock Exchange Group's acquisition of Refinitiv Holdings

Felicia Tan
Felicia Tan9/16/2020 02:58 PM GMT+08  • 2 min read
CCCS invites public review on London Stock Exchange Group's acquisition of Refinitiv Holdings
The proposed acquisition was announced in August 2019.
Font Resizer
Share to WhatsappShare to FacebookShare to LinkedInMore Share
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

The Competition and Consumer Commission of Singapore (CCCS) is inviting the public to give feedback on the review of the proposed acquisition of Refinitiv Holdings Limited by the London Stock Exchange Group from September 16 to October 7.

The proposed acquisition was announced in August 2019.

On April 6, the CCCS accepted an application from both parties on whether the acquisition was in breach of section 54 of the Competition Act. Section 54 is related to mergers that may potentially reduce competition within any market in Singapore.

According to CCCS, both companies overlap in the supply of fixed income index licensing services in Singapore, and there are “non-horizontal” links between both the London Stock Exchange Group and Refinitiv Holdings in six categories of products, which include trading services, clearing services, index licensing, and financial information products.

The commission had earlier raised concerns about the reduction in competition on the proposed transaction after completing its preliminary review. Based on the information it received, CCCS was unable to conclude that the proposed transaction would not raise competition concerns.

Third parties noted that the merger may reduce the merged entity’s incentive to continue the supply of inputs to rival providers. The third parties added that they have concerns about continued access to Refinitiv’s WM/Reuters foreign exchange benchmarks, which are considered critical inputs for index licensing and derivatives clearing services.

Following the further filing of the relevant documents on August 31, CCCS says it is commencing an in-depth review of the effect of the proposed transaction.

The investigation comes after the European Commission opened an in-depth investigation in June to assess whether the proposed acquisition may reduce competition in trading and clearing of various financial instruments and in financial data products.

Loading next article...
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
Subscribe to The Edge Singapore
Get credible investing ideas from our in-depth stock analysis, interviews with key executives, corporate movements coverage and their impact on the market.
© 2022 The Edge Publishing Pte Ltd. All rights reserved.