ASX, SFE merger to give Australia global footprint

Australian Stock Exchange (ASX) and Sydney Futures Exchange Corporation (SFE) have announced a merger that will create Asia's largest listed exchange and the ninth largest listed exchange globally with a A$5.3bn ($3.7bn) capitalisation.

Investors have responded well to the news with both SFE and ASX share prices surging since the announcement. The deal valued SFE shares at A$16.93, a 25% premium to recent pricing and a full eight times its original listing price from April 2002. However, SFE's name will eventually be dropped and SFE's CEO was expected to step down after the merger.

ASX's...