Swiss SIX stock exchange offers CHF3.1 billion for Spanish counterpart

If accepted, the deal will need approval from the Spanish authorities before it can go through. Keystone / Ennio Leanza

SIX announced an all-cash voluntary tender offer of CHF3.1 billion (around €2.8 billion) for the operator of the Spanish stock exchanges Bolsas y Mercados Españoles (BME). 

The offer, announced on Monday, would make SIX the third largest European financial market infrastructure group if accepted. The offer price per share is €34 and represents a premium of 47.6% over BME’s 6-month volume weighted average share price and 33.9% over its closing price of €25.4 on November 15. 

“A combination with BME will bring direct and immediate benefits to the stakeholders of both our institutions, at a time when consolidation in global financial markets infrastructure is accelerating,” said Romeo Lacher, Chairman of the SIX Board. 

For the deal to go through SIX requires a minimum acceptance level of at least 50% plus one share of BME’s share capital. In addition, approval is needed from the Spanish National Commission on Markets and Competition (CNMC) and the Spanish Securities Exchange Commission (CNMV) as well as the Spanish government. 

Paris-headquartered exchange group Euronext, which already owns a number of European trading platforms including Paris, has also put in a rival bid for the Spanish stock exchange group.