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CME offers $9.4bn for Nymex

by Jim Kharouf

CME Group has almost completed its deal to buy New York Mercantile Exchange (Nymex) for $9.4bn in cash and stock.

The deal, if approved by Nymex and CME Group shareholders, will broaden the product mix held by CME Group and give the exchange control over roughly 98% of US futures volumes. Exchange officials hope to close the deal this year, but now must convince shareholders the deal is a good one.

Under the proposal, which is in essence the same as the earlier announced offer from CME Group, Nymex shareholders will receive 0.1323 of a CME share and $36 in cash for each Nymex share.

In total, CME Group is offering 12.5m shares and $3.4bn dollars in cash, giving Nymex shareholders about 18% of the combined company. It is also paying about a 13% premium on...

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