In a statement issued following an investor meeting, Nymex said that it has “talked to certain parties regarding a potential business combination” and that any transaction would “have to be at a meaningful premium to the Company’s current share price.”
Nymex shares surged $5.86 to $125.72 in early trading today.
The statement also noted that a potential combination could result in cost savings of up to $250 million as well as “potential revenue synergies from better distribution in Europe.”
Nymex also confirmed recent speculation that it had been in talks to sell its headquarters while adding that further savings could be made by cutting up to 150 staff and “excess trading floor capacity.”
Nymex did not disclose who the potential suitor might be. CME Group, the parent of the Chicago Mercantile Exchange, currently handles electronic trading for the exchange’s key West Texas Intermediate crude oil contract.
NYSE Euronext and Deutsche Boerse have also been recently linked with the world’s largest energy exchange.
The week on Risk.net, September 8-14, 2018Receive this by email