STOCK SYMBOL / KEYWORD SEARCH

Google
 

Today's Top Searches

NYSE EURONEXT - Google News

NYSE EURONEXT MESSAGE BOARDS

________________________________________________________________

GOOGLE FINANCE : NYSE Group, Inc.

YAHOO FINANCE: NYSE Euronext, Inc.

NYSE.COM HEADLINES

_______________________________________________________________________

Exchanges

NYSE System Alerts

NYSE.com News Releases

NYSE.com Financial News Releases

NYSE.com Indexes and ETFs News Releases

NYSE.com International News Releases

NYSE.com New Listings News Releases

NYSE.com Products and Services News Releases

NYSE.com Program Trading

NYSE.com Rule Proposals News Releases

NYSE.com Trading Data News Releases

NYSE.com Unusual Trading News Releases

NYSE.com Other News Releases

NYSERegulation.com News Releases

NYSERegulation.com Disciplinary Actions News Releases

NYSERegulation.com Reviews and Suspensions News Releases

NYSEData Announcements

CTA Announcements

Thursday, November 8, 2007

NYSE EURONEXT (NYX): A Fork In The Road For NYMEX


There have been a few under the radar statements that came out of NYMEX's corner this week. Many overlooked the statements regarding the cost saving measures announced by NYMEX. Most people thought that the statements made about the sale of their $500M building and layoffs were redundant. Perhaps this is why most people didn't pay too much attention. However, this does by no way mean that they were not important. They deserved more scrutiny. People who did pay attention learned a couple important facts.

One thing that bothered some was the redundancy of the statements. Not only because it was old news but more importantly because it painted a picture of a merger deal in limbo. Most expected the announcement of a pending sale of NYMEX real estate which is seen as a precursor to a merger deal.

Another aspect of these statements which bothered the people who picked up on it was NYMEX's apparent "Plan B". Maybe these statements weren't so redundant after all. In a recent statement, Richard Shaeffer, chairman of NYMEX Holdings said that The two options for the building being considered are an outright sale or a sale and leaseback."It depends on whether we are involved in a merger," he said, adding a merger of NYMEX with another entity could add synergy to the plan." He then refused to comment on anything pertaining to a merger. The fact that NYMEX is considering a leaseback plan is a new development. Apparently they weren't considering this option before so this has led some to believe that there may be other plans besides the merger that everyone expected and so desired.Leasing the building back after a sale could also be a way for NYMEX to justify charging over $500M for the property. If it's the real estate that's holding up a merger, hopefully NYMEX recently seeking the services of Cushman Wakefield will get the job done.

There was however one minor detail that assured people that a deal was indeed still in play. Why would Shaeffer so insistently refuse to comment on a merger if in fact a deal had fallen through. His persistence in not giving any clues away means one thing. Some interpreted this as meaning that the deal is probably still on track and still in serious discussion at NYMEX.


http://www.reuters.com/article/companyNewsAndPR/idUSN0638594520071106?pageNumber=1

No comments: