LCH.Clearnet Acquires IDCG

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The acquisition will allow LCH to operate a US-domiciled CCP.

LCH.Clearnet has announced that it has acquire the International Derivatives Clearing Group (IDCG), taking sole ownership from Nasdaq and other investors.

Under the deal, Nasdaq gains a 3.7 percent pro forma ownership stake in LCH. The move allows the clearer, which is owned by the London Stock Exchange Group, to operate a US-domiciled central counterparty (CCP), with IDCG renamed LCH.Clearnet (US). The acquisition requires regulatory approval, but will facilitate its previously-announced cross-product margining initiative with the Depository Trust and Clearing Corporation, New York Stock Exchange and New York Portfolio Clearing.

"This transaction is a strategic move to expand our US footprint and provide clients with additional flexibility and choice," says Ian Axe, chief executive at LCH.Clearnet. "It underscores our continued commitment to a horizontal clearing model for a global marketplace. We look forward to continuing to grow and develop our strategic relationship with Nasdaq OMX in the future."

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