Econintersect: The Hong Kong Stock Exchange has said it will consider possible mergers or alliances in order to be better able to compete with other global giants, such as the London and Toronto/Montreal exchange merger and the possible NYSE (New York Stock Exchange) merger with Duetsche Boerse. A proposed merger of the Singapore and Australian exchanges is facing some domestic opposition in Australia. From Shanghai Daily:
HKEx, which has a market capitalization of about US$24.4 billion, has so far felt no need to merge. Its position as a gateway to China for international investors and its strong pipeline of the Chinese mainland-backed IPOs has kept business booming.
Other exchanges in Asia have been reluctant to seek tie-ups due to tight ownership, while regulations in some markets, such as India, prevent significant foreign involvement.
Source: Shanghai Daily
