Regulator OKs Montreal Exchange takeover: Caisse

Thu Apr 10, 2008 4:50pm EDT
 
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MONTREAL (Reuters) - Quebec's securities regulator has approved TSX Group's C$1.02 billion cash and stock takeover of the Montreal Exchange, Caisse de depot et placement said on Thursday.

A spokesman for the regulator, Autorite de marches financiers (AMF), said it would issue a statement soon, but declined to offer details.

In its statement, the Caisse -- the province's public pension fund manager -- applauded the AMF's decision and said the regulator had stipulated that TSX, the owner of the Toronto Stock Exchange, could not relinquish control of the Montreal Exchange without the AMF's approval.

CNW Group, the press release agency that distributed the Caisse's statement on the transaction, later withdrew it, but could not provide additional details.

The AMF, which held hearings on the takeover last month, had been expected to announce its decision on the transaction in the coming days.

The takeover is aimed at strengthening the Toronto Stock Exchange, the country's top equities market. The deal would fold the Montreal Exchange, a specialist in derivatives trading since 1999, into TSX to create an enlarged company known as TMX Group.

TSX Group also owns the small-cap TSX Venture Exchange.

(Reporting by Robert Melnbardis; Editing by Rob Wilson)