trending Market Intelligence /marketintelligence/en/news-insights/trending/EI9PkMVBCHxnfTl77zaFKA2 content esgSubNav
In This List

Brexit strengthens case for LSE/Deutsche Börse merger, says Bundesbank's Dombret

Blog

Banking Essentials Newsletter: January 11th Edition

Blog

Banking Essentials Newsletter December 21st Edition

Blog

The Road to Basel IV: Navigating the challenge facing European banks

Blog

Basel Framework- Utilizing data to analyze the capital position of European banks.


Brexit strengthens case for LSE/Deutsche Börse merger, says Bundesbank's Dombret

The U.K.'s decision to leave the EU has strengthened theeconomic rationale behind LondonStock Exchange Group Plc's and Deutsche Börse AG's proposed merger, according to Deutsche Bundesbank board member Andreas Dombret.

"Once the U.K. has left the European Union, bridgesbetween both economies will be more important than ever before," Dombretsaid at a banking conference in Frankfurt. "The announced merger of LSEand Deutsche Börse has the potential to become such a bridge."

He did, however, note that the Leave vote did pose newcorporate governance challenges for the merger and advised the parties "tofind a governance structure which balances all reasonable interests — even atthe expense of synergies."

He added that Brexit will likely result in London losingeuro trading and clearing activities and that Frankfurt was a likely alternative.