Deutsche Boerse-LSE deal in danger as EU demand rejected

A worker shelters from the rain as he passes the London Stock Exchange in the City of London. - Reuters filepic

LONDON: Deutsche Boerse AG’s US$13bil bid for London Stock Exchange Group Plc headed toward collapse after the UK market operator rejected demands by European regulators to sell one of its holdings.

LSE said it couldn’t commit to sell its stake in MTS, an electronic trading platform for government bonds, and declined to submit a counter proposal after European Union officials made divesting the unit a condition for approval. Shares of Deutsche Boerse fell as much as 4.1% on Monday, while LSE dropped as much as 3.5%.