Singapore Exchange Limited (SGX) has entered into exclusive discussions with the Baltic Exchange Limited (Baltic) regarding an offer for the Baltic.
As disclosed by the Baltic Exchange, the signing of this exclusivity agreement follows discussion with a number of interested parties.
Other bidders included CME Group ( CME.O ), ICE ( ICE.N ) and Platts, according to Reuters.
“The Baltic’s Board considers that SGX has made an attractive proposal that has the potential to enhance significantly the position of the Baltic, serving the needs of Baltic members, shareholders and other stakeholders. The next phase will be to continue detailed discussions with SGX and consult with Baltic stakeholders before making a final recommendation,” the exchange said.
Key aspects of the SGX proposal include commitments to:
The Baltic Exchange and SGX are scheduled to meet with shareholders and the wider stakeholder community of members and key industry participants over the coming weeks to explain the terms of the proposal and “build a consensus of support” , before presenting a definitive agreement which can form the basis of a Board recommendation to shareholders.
“ SGX has indicated that in the event its bid is successful, it would maintain the current model for the Baltic business and our presence and building in London, as the platform for the Baltic’s future growth. The proposed transaction would further strengthen the links between London and Singapore, two of the world’s leading maritime business hubs, to the benefit of all, ” Chairman Guy Campbell said.