LSE-Deutsche Boerse merger approved

(Photo: SergeyP/shutterstock.com)

The two stock exchanges agreed earlier this year on a merger worth EUR 24 billion, but the referendum on Great Britain's exit from the EU made it unclear how the agreement would be executed, reports BBC.

The chairman of the LSE Donald Brydon thanked the shareholders for their strong support, since 98.9% of them had voted for the merger.

The LSE announced that the agreement on the merger with Deutsche Boerse would certainly bring earnings to the shareholders.

The Brexit vote has put the agreement in question, since the German regulators announced last week that the new company's headquarters might not be in London as it had been planned.

The LSE and Deutsche Boerse announced after Brexit that the voting results would not adversely impact the convincing reasons in favor of the merger.

The chairman of Deutsche Boerse Joachim Faber said that the referendum outcome had made even more apparent the importance of maintaining and strengthening the bond between Great Britain and Europe.

Shareholders of Deutsche Boerse are supposed to vote on the agreement on the merger on July 12, and the companies hope that the agreement will be signed at the beginning of 2017.

The LSE and Deutsche Boerse, which owns the Frankfurt Stock Exchange, announced at the end of February that they were negotiating about the merger, which was the third time, since 2000, that the two large European stock exchanges were considering merging.

The company InternationalExchange, owner of the New York Stock Exchange, had also been considering buying the LSE.