27/08/2014 15:14:54 Free Membership Login

ICE, NYSE Breakup Fee Set at Up to $750 Million

Date : 12/21/2012 @ 10:20AM
Source : Dow Jones News
Stock : Nyse Euronext (NYX)
Quote : 45.29  0.0 (0.00%) @ 2:05AM
NYSE Group share price Chart

ICE, NYSE Breakup Fee Set at Up to $750 Million

Intercontinental Exchange, Inc. (NYSE:ICE)
Historical Stock Chart

2 Years : From Aug 2012 to Aug 2014

Click Here for more Intercontinental Exchange, Inc. Charts.

IntercontinentalExchange Inc.'s (ICE) roughly $8.2 billion deal to buy NYSE Euronext (NYX) includes a handful of potential termination fees, granting one of the parties a sizeable windfall if the acquisition were to fall apart.

On Thursday, NYSE Euronext agreed to be sold to ICE in a merger that would vastly expand ICE's profile from an energy-focused futures-market operator to a fully diversified exchange company running stock, options, futures and trade-clearing services on both sides of the Atlantic Ocean.

Under certain scenarios, including if NYSE pursues a separate offer, NYSE would be forced to pay ICE upwards of $450 million. In other instances, including a willful and material breach of the agreement by ICE, ICE would be required to pay NYSE up to $750 million.

Except under specific circumstances, neither company would be required to pay the other more than $750 million in the aggregate in the event of a break-up.

Shares of both companies are down about 2% premarket amid the broader market's sharp weakness.

Write to Ben Fox Rubin at ben.rubin@dowjones.com

Subscribe to WSJ: http://online.wsj.com?mod=djnwires




Your Recent History
LSE
GKP
Gulf Keyst..
LSE
QPP
Quindell
FTSE
UKX
FTSE 100
LSE
IOF
Iofina
FX
GBPUSD
UK Sterlin..
Stocks you've viewed will appear in this box, letting you easily return to quotes you've seen previously.

Register now to create your own custom streaming stock watchlist.

NYSE and AMEX quotes are delayed by at least 20 minutes.
All other quotes are delayed by at least 15 minutes unless otherwise stated.

By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions

1 site:2 us 140827 15:14