Chicago Board of Trade (CBoT) management intensified efforts to secure backing for its proposed takeover by Chicago Mercantile Exchange (CME) by warning that a rival bid from Intercontinental Exchange would put the business
"at risk".
"Those risks relate to ICE's current trading and clearing platforms, specifically its capacity to serve our volume and business model (ie functionality). If the necessary changes in these systems were not properly designed, funded and timely implemented, the risk to our business could be catastrophic," CBoT said in a letter to members dated 6 June. "We're not talking just about a dip in sales here, but the potential permanent loss of our liquidity pools. Put another way,...