Meeting on CME-CBOT Merger Delayed
Chicago Mercantile Exchange Holdings has moved the date for its shareholder vote on a merger with CBOT Holdings from April to July 9, giving CBOT time to review another merger proposal from ICE.
Compiled by staff
Published: Apr 12, 2007
The scheduled meeting of Chicago Mercantile Exchange Holdings shareholders to vote on a merger agreement with CBOT Holdings has been moved from April 4 to July 9, CME says, putting it on the same day as the CBOT shareholders' meeting.
The new date will allow CBOT time to evaluate another merger proposal from ICE.
CME Executive Chairman Terry Duffy called the ICE proposal "unsolicited" and expresses confidence that CBOT will go through with the merger. "We continue to believe that the combination of CME and CBOT provides unparalleled growth potential and positions the combined company as a premier global exchange offering the broadest product line, deepest liquidity, strong technology and clearing platforms and vibrant open outcry markets."
Craig Donohue, CEO of CME, also sees his company's offer as a wiser choice than ICE's for CBOT. "We are poised to start capitalizing on those opportunities on the first day after we close the transaction. Furthermore, we can integrate our companies quickly, and our merger does not carry the execution risk associated with ICE's proposal."
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