👀 Ones to watch: The MOST undervalued stocks to buy right nowSee Undervalued Stocks

Revised SGX-ASX deal fails to ease political concerns

Published 02/17/2011, 12:58 AM
Updated 02/17/2011, 01:00 AM

CANBERRA, Feb 17 (Reuters) - The Singapore exchange's revised offer for Australian bourse operator ASX still faces major political hurdles in Australia after key independent lawmakers on Thursday continued to voice concerns about the $7.9 billion takeover.

The Singapore exchange on Tuesday amended its offer for ASX, part of a global wave of exchange consolidation, with changes designed to help it overcome political concerns over a deal which will needs both government and parliamentary approval.

Key independents and Greens lawmakers contacted by Reuters on Thursday said the revised offer has not changed their views.

"ASX is not just any company. It is an iconic Australian financial organisation, the sale of which would compromise our financial sovereignty," independent Andrew Wilkie told Reuters on Thursday, in line with his stand before the revised offer.

Parliament must vote to remove a 15 percent cap on individual holdings in the ASX in order for the deal to succeed.

Independent Senator Nick Xenophon, who also has concerns about the takeover, said he still wanted to send the issue to a Senate inquiry to examine the full implications for Australia.

Western Australian independent Tony Crook, who normally votes with the opposition, said he also remained opposed to the deal at this stage. He also backed a parliamentary inquiry.

Opposition treasury spokesman Joe Hockey earlier this week said he would not form a view on the deal until the government had made its decision.

The government has refused to comment on the revised offer.

(Reporting by James Grubel; Editing by Mark Bendeich)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.