NASDAQ OMX Group

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The NASDAQ OMX Group, Inc.
Type Public
Traded as NASDAQNDAQ
S&P 500 Component
Industry Financial services
Founded 1971 (1971)
Headquarters One Liberty Plaza
New York City, New York, The USA
Area served United States, Europe
Key people Donald Edward (Chairman)
Robert Greifeld (CEO)
Products Derivatives, equity trading platforms, futures and options markets, market data, securities exchanges, financial technology and related services
Revenue Increase US$ 3.438 billion (2011)[1]
Operating income Increase US$ 0678 million (2011)[1]
Net income Decrease US$ 0387 million (2011)[1]
Total assets Decrease US$ 14.09 billion (2011)[1]
Total equity Increase US$ 4.976 billion (2011)[1]
Employees 2,503 (2012)[1]
Parent Investor AB (10.2%)
Subsidiaries NASDAQ, OMX
Website NASDAQOMX.com

The NASDAQ OMX Group, Inc. is an American multinational financial services corporation that owns and operates the NASDAQ stock market and eight European stock exchanges in the Nordic and Baltic regions and Armenia under the NASDAQ OMX banner. It is headquartered in New York City, and its president and chief executive officer is Robert Greifeld.

History[edit]

Merger attempt with London Stock Exchange[edit]

In December 2005, the London Stock Exchange Group (LSE) rejected a £1.6 billion takeover offer from Macquarie Bank. The LSE described the offer as "derisory." It then received a bid in March 2006 for £2.4 billion from NASDAQ(national association of securities dealers of automated quotations), which was also rejected by the LSE. NASDAQ later pulled its bid, and less than two weeks later on April 11, 2006, struck a deal with LSE's largest shareholder, Ameriprise Financial's Threadneedle Asset Management unit, to acquire all of that firm's stake, consisting of 35.4 million shares, at £11.75 per share.[2] NASDAQ also purchased 2.69 million additional shares, resulting in a total stake of 15%. While the seller of those shares was undisclosed, it occurred simultaneously with a sale by Scottish Widows of 2.69 million shares.[3] The move was seen as an effort to force LSE to negotiate either a partnership or eventual merger, as well as to block other suitors such as NYSE Euronext, owner of the New York Stock Exchange.[4]

Subsequent purchases increased NASDAQ's stake to 29%, holding off competing bids for several months. However only a further 0.4% of shareholders accepted the offer by the deadline and therefore the offer was rejected [5] on February 10, 2007.

Boston and Philadelphia Exchanges purchase[edit]

On October 2, 2007, NASDAQ purchased the Boston Stock Exchange. On November 7, NASDAQ announced an agreement to purchase the Philadelphia Stock Exchange.

OMX purchase[edit]

On May 25, 2007, NASDAQ agreed to buy the Swedish-Finnish financial company that controls 7 Nordic and Baltic stock exchanges OMX for USD 3.7 billion to form NASDAQ OMX Group.[6] As of February 27, 2008, the deal was completed.

Sustainable Stock Exchanges initiative[edit]

On June 18, 2012, NASDAQ became a founding member of the United Nations Sustainable Stock Exchanges initiative on the eve of the United Nations Conference on Sustainable Development (Rio+20).[7]

Acquisition of Thomson Reuters businesses[edit]

On December 12, 2012, NASDAQ OMX announced that it would acquire Thomson Reuters' investor relations, public relations and multimedia businesses for $390 million in cash.[8] NASDAQ OMX completed the purchase on June 3, 2013.[9]

Additional Services[edit]

Global Information Services[edit]

In January 2013, NASDAQ OMX announced that it would combine its global data products and index businesses into a unit called Global Information Services, as part of an ongoing effort to broaden its portfolio.[10]

Directors Desk | DirectorsDesk.com[edit]

On June 29, 2007, NASDAQ entered into an agreement to acquire DirectorsDesk.com, a management suite for Boards of Directors.[11]

GlobeNewswire[edit]

GlobeNewswire (previously PrimeNewswire) provides press release, editing and wire services. It was founded in 1998 and acquired by NASDAQ OMX in 2006.[12]

SMARTS Group[edit]

On July 27, 2010, NASDAQ OMX Group, Inc. has signed an agreement to acquire SMARTS Group, the world-leading technology provider of market surveillance solutions to exchanges, regulators and brokers.[13]

Carpenter Moore[edit]

NASDAQ OMX sold its stake in the Carpenter Moore D&O Insurance in 2009.

References[edit]

  1. ^ a b c d e f "Annual Results 2011". NASDAQ OMX Group, Inc. Retrieved 27 February 2011. 
  2. ^ Patrick, M.; Lucchetti, A., Reilly, D., Taylor, E. (2006-04-11). "Nasdaq Acquires 15% of LSE". The Wall Street Journal. 
  3. ^ "Scottish Widows says has sold 2.7 mln LSE shares at 1,175 pence". Forbes. 2006-04-12. 
  4. ^ Ortega, E. (2006-04-11). "Nasdaq Buys 15 Percent Stake in LSE for $782 Million". Bloomberg News. 
  5. ^ "LSE woos Tokyo after US bid fails". BBC News. 2007-02-11. 
  6. ^ "Nasdaq to buy Nordic bourse group OMX for $3.7 bln". Reuters. 2007-05-25. 
  7. ^ "Sustainable Stock Exchanges Initiative: Exchanges listing over 4,600 companies commit to promoting sustainability". Sustainable Stock Exchanges initiative. Reuters. Retrieved 13 May 2014. 
  8. ^ "Nasdaq OMX buys Thomson Reuters units". Financial Times. 2012-12-12. Retrieved 2013-01-30. 
  9. ^ "Nasdaq buys 3 businesses from Thomson Reuters". Bloomberg Businessweek. 2013-06-03. Retrieved 2013-06-06. 
  10. ^ "Nasdaq OMX continues streamlining efforts", Financial Times, January 29, 2013. Retrieved January 30, 2013.
  11. ^ "Nasdaq to acquire Directors Desk, a Technology Company for Corporate Boards". primenewswire.com. 2007-06-29. 
  12. ^ "Overview". NASDAQ OMX GlobeNewswire Overview. GlobeNewswire, Inc. Retrieved 4 September 2012. 
  13. ^ "NASDAQ OMX to acquire world-leading market surveillance system provider SMARTS". 2010-07-27. 

External links[edit]