Maple and TMX acquire CDS and Alpha
First Published 1st May 2012
Maple and TMX to purchase Alpha, deadline extended
Tom Kloet, CEO, TMX Group
"TMX Group's goal is to provide enhanced efficiency and new capabilities for the benefit of all market participants."
Maple Group, a corporation whose investors comprise 13 of Canada's financial institutions and pension funds, and TMX Group Inc. have announced that Maple has reached agreements for the acquisition by Maple of The Canadian Depository for Securities Limited ("CDS") and of Alpha Trading Systems Inc. and Alpha Trading Limited Partnership. (Alpha).
Maple and TMX Group have also agreed to extend the outside date for completing the Maple offer to July 31, 2012 and, consistent with that, have announced an extension of the Maple offer initially to May 31, 2012.
The proposed acquisitions of CDS and Alpha are announced in connection with Maple's proposed integrated acquisition transaction to acquire 100% of TMX Group shares, valued at approximately $3.8 billion. Maple intends to complete the proposed acquisitions of CDS and Alpha concurrently with or as soon as practicable following the completion of the Maple offer, subject to the satisfaction of customary terms and conditions, including the receipt of all necessary regulatory approvals, and, in the case of CDS, to CDS board approval of the amalgamation agreement and subsequent ratification of the amalgamation agreement at a CDS shareholders' meeting.
Speaking on behalf of Maple, Luc Bertrand said, "These agreements are important milestones in our effort to realize our vision for a stronger and more globally competitive exchange and clearing organization. We remain focused on securing the regulatory approvals required to complete the proposed transactions and deliver significant benefits to participants in Canada's capital markets."
Tom Kloet, Chief Executive Officer, TMX Group, added, "TMX Group's goal is to provide enhanced efficiency and new capabilities for the benefit of all market participants. We continue to work with Maple to secure the required regulatory approvals and look forward to making an even stronger contribution to the performance and success of Canada's capital markets."