Nasdaq and ICE going straight to NYSE shareholders

By Hibah Yousuf, staff reporter


NEW YORK (CNNMoney) -- Nasdaq OMX and IntercontinentalExchange said Monday that they plan to take their $11.3 billion offer for NYSE Euronext directly to the shareholders.

The NYSE has twice rejected proposals by the rival exchanges, reiterating its plans to merge with Germany's Deutsche Boerse in a deal valued at $10 billion.

Last month, Nasdaq and ICE sweetened their offer with a $350 million 'reverse termination fee,' but the NYSE still wasn't interested.

Monday's move came after NYSE Euronext's stockholders reportedly bombarded the exchange's top executives at last week's annual shareholder meeting with angry questions about its rejection of the rival takeover bid.

"While we are hopeful that the Board will decide to consider this transaction, we are taking our proposal to NYSE Euronext stockholders ... to provide the opportunity to consider our proposal directly," said ICE Chief Executive Jeffrey Sprecher in a statement.

Nasdaq OMX CEO Bob Greifeld reiterated the sentiment, adding that he hopes the NYSE Euronext board is convinced of the "seriousness of our intentions."

NYSE Euronext's (NYX, Fortune 500) stock rose more than 1% in afternoon trading, while shares of Nasdaq OMX (NDAQ) slipped 0.2% and shares of ICE (ICE) fell 1.8%.

In a statement released after the closing bell Monday, NYSE Euronext said that the offer from Nasdaq and ICE was "the same as previously proposed" and that the bid had already been "unanimously rejected."

Last month, NYSE chairman Jan-Michiel Hessels said the "proposal does not provide compelling value, has unacceptable execution risk and is therefore not in the best interests of NYSE Euronext shareholders." To top of page

Frontline troops push for solar energy
The U.S. Marines are testing renewable energy technologies like solar to reduce costs and casualties associated with fossil fuels. Play
25 Best Places to find rich singles
Looking for Mr. or Ms. Moneybags? Hunt down the perfect mate in these wealthy cities, which are brimming with unattached professionals. More
Fun festivals: Twins to mustard to pirates!
You'll see double in Twinsburg, Ohio, and Ketchup lovers should beware in Middleton, WI. Here's some of the best and strangest town festivals. Play
Index Last Change % Change
Dow 18,132.70 -81.72 -0.45%
Nasdaq 4,963.53 -24.36 -0.49%
S&P 500 2,104.50 -6.24 -0.30%
Treasuries 2.00 -0.01 -0.69%
Data as of 2:28pm ET
Company Price Change % Change
Bank of America Corp... 15.81 -0.23 -1.43%
Apple Inc 128.46 -1.96 -1.50%
General Electric Co 25.99 0.10 0.39%
Microsoft Corp 43.85 -0.20 -0.47%
Chesapeake Energy Co... 16.68 -0.52 -3.02%
Data as of Feb 27
Sponsors

Sections

Berkshire Hathaway CEO Warren Buffett released his 50th annual letter to shareholders. The Oracle of Omaha thinks the next 50 years will be great and knows who will replace him. More

Potential presidential candidate says that improvement in unemployment rate is due to millions of jobless not being counted. More

The top 5 consumer complaints have to do with identity theft, debt collectors, imposters, telephone companies and banks. More