Just in:
French Leaders Gather for Interfaith Iftar Dinner // Universal Language for Healthcare: General Authority Embraces Global Coding System // Ingdan Announces 2023 Annual Results // Simplified Business Moves for Al Reem Island Firms // Sunshine’s Debut Features Leave Tech World Scratching Its Head // Sharjah Chamber Breaks Ground on Final Expansion with New HQ Pact // Saudi Arabia Unveils Green Financing Tool to Achieve Net-Zero Goals // Aid is at the core of Israel, Palestine struggle to control post-war Gaza // New Nylon Constant Torque Hinge From Southco Provides Position Control In A Compact Package // U.S. Compliance Takes Center Stage at OKX Following Industry Jitters // First-Ever Fortune Innovation Forum Draws Top Global Leaders to Hong Kong, Promoting Agendas On Collective Cross-Sector Advancement // Samsung Partners National Heritage Board to Bring a Slice of Singapore’s Cultural Heritage to Samsung The Frame TV // No running of govt from jail, says Delhi Lt Governor // CABSAT 2024 Ushers in 30 Years of Media Innovation // Infineon and HD Korea Shipbuilding & Offshore Engineering jointly develop ship electrification technology // TUMI Hosts Global Launch Event in Singapore to Unveil Women’s Asra Collection and Announce Global Ambassador, Mun Ka Young // Emirati Aid Reaches Ukraine as Food Shortages Bite // Following the Money Trail: US and UK Investigate $20 Billion in USDT Transfers Tied to Sanctioned Russian Exchange // Global Audience to Witness Thrill of Dubai World Cup // Melco Style Presents “SANRIO CHARACTERS STUDIO CITY CARNIVAL” – Explore a SANRIO World of Unlimited Love and Cuteness //
HomeMarketsChicago exchange sets out voting power in China bid

Chicago exchange sets out voting power in China bid

81aff914 b5cd 11e6 961e a1acd97f622d

The Chicago Stock Exchange, which is seeking to win approval for a controversial takeover deal by Chinese investors, on Monday said that two companies controlled by the Lu family would own a combined 39 per cent of the exchange, but their voting power would be limited to 20 per cent.

In a filing with the Securities and Exchange Commission, the Chicago exchange detailed the underlying investors in its proposed acquisition by a group of backers led by China’s Chongqing Casin Enterprise Group. Chinese investors are set to own 49.5 per cent after the purchase.

ADVERTISEMENT

The takeover would mark the first time a Chinese-led company took over a US bourse and it was met with some pushback in Washington when it was announced earlier this year. In a Republican presidential debate, Donald Trump, at the time a candidate for nomination, also cited the stock exchange takeover as an example of how America was losing its international competitiveness, the Financial Times reported.

The rationale for the deal, unveiled in February, is to provide a way for Chinese companies to list in the US as well as open the door for Chinese investors to buy US listed shares.

Founded in 1882, the Chicago Stock Exchange is the smallest of the designated US exchanges with about 1 per cent of US equity trading. The takeover requires SEC approval and the Chicago exchange has voluntarily submitted it for review by the Committee on Foreign Investment in the US, or Cfius, which has the power to block any deal that jeopardises US national security.

Jim Ongena, CSE’s general counsel, said that the terms in the filing would meet SEC rules for exchanges that prohibit any one entity from owning 40 per cent or more of the shares or a voting interest above 20 per cent.

NA Casin Group, which is wholly owned by Chongqing Casin would own 20 per cent in the deal while Castle YAC Enterprises would own 19 per cent. Chinese businessman Shengju Lu owns nearly 75 per cent of Chongqing Casin while his son Jay Lu, a US citizen and vice-president of Casin, is the sole member of Castel YAC. Given the family relationship, the collective voting interest is being fixed at 20 per cent.

Other members include Chinese-based groups Chongqing Jintian Industrial and Chongqing Longshang Decoration, with 15 per cent and 14.5 per cent, respectively.

Raptor, a private investment company of James Palotta, the president and chairman of AS Roma and a co-owner of the Boston Celtics, would own 11.75 per cent. Saliba, a private company of Anthony Saliba, who is the former chief executive of LiquidPoint, a Chicago-based options technology company, would have 11.75 per cent.

Xian Tong Enterprises, a US-based technology company, would have 6.94 per cent, the Chicago Stock Exchange Management team 0.88 per cent and brokerage Cheevers & Co 0.18 per cent.

The next step in the SEC process is to put the transaction up for public comment.

Source link

ADVERTISEMENT

ADVERTISEMENT
Just in:
Infineon and HD Korea Shipbuilding & Offshore Engineering jointly develop ship electrification technology // Experience Ultimate Shopping Freedom at 4.4 Shopee Spree: Don’t Worry, Shop Shopee! // No running of govt from jail, says Delhi Lt Governor // Ingdan Announces 2023 Annual Results // U.S. Compliance Takes Center Stage at OKX Following Industry Jitters // Saudi Arabia Unveils Green Financing Tool to Achieve Net-Zero Goals // Hong Kong Crypto Exchange Application Stalled by US Lawsuit // Aid is at the core of Israel, Palestine struggle to control post-war Gaza // Samsung Electronics Launches 2024 Neo QLED 8K, Neo QLED, and OLED Displays to Spark the AI Screen Era // Emirati Aid Reaches Ukraine as Food Shortages Bite // Sharjah Chamber Breaks Ground on Final Expansion with New HQ Pact // Global Audience to Witness Thrill of Dubai World Cup // A Tightrope Saudi Walk Towards Net-Zero // TUMI Hosts Global Launch Event in Singapore to Unveil Women’s Asra Collection and Announce Global Ambassador, Mun Ka Young // CABSAT 2024 Ushers in 30 Years of Media Innovation // Following the Money Trail: US and UK Investigate $20 Billion in USDT Transfers Tied to Sanctioned Russian Exchange // Melco Style Presents “SANRIO CHARACTERS STUDIO CITY CARNIVAL” – Explore a SANRIO World of Unlimited Love and Cuteness // German Job Market Resilience Bodes Well for Economic Recovery // 2024 Lok Sabha Elections Will Be The Costliest One Till Now In The Whole World // Digital Hub Unveiled: Xposure Launches Platform for Global Photography Community //