NYSE Euronext CEO Criticizes New Bid by Nasdaq-ICE

Traders at the New York Stock Exchange
AP
Traders at the New York Stock Exchange

NYSE Euronext Chairman Duncan Niderauer again criticized Nasdaq'sand Intercontinental Exchange's newest offer for the stock exchange company Wednesday.

He told CNBC he is "hardpressed to see where it makes any sense" to break up the owner of the New York Stock Exchange at a time when the trend is to be even more diversifed.

"Our strategy has been that the way forward is to be diversified across asset classes, geographies and services," he said.

The Nasdaq and ICE offer "would say no, that’s not the future, let’s all have pure-play exchanges like we had a few years ago when you’re either in the equities business, the derivatives business or you’re not."

More companies are expanding around the world, he said. "If we are going to service those companies that are trying to expand globally, we’d better be in those jurisdictions, too."

He looks at the proposed merger with Deutsche Bourse not as a sale of NYSE Euronext, but as a better opportunity for his company's expansion. He downplayed concerns about German ownership of the company saying there is "not that much difference between 60-40 (ownership) and 50-50."

He said he plans to make this point more strongly to NYSE Euronext shareholders at next week's shareholders meeting. After meeting with shareholders over the past few weeks, "it’s clear to me I’ve got work to do...to start talking more clearly about the value-creating opportunity with Deutsche Borse is going to create for shareholders."