Analysts have suggested that CME’s reported bid for Dow Jones Indexes could benefit the exchange company in the long term, especially if its equity index business grows.
Niamh Alexander, an exchange analyst for Keefe, Bruyette and Woods (KBW) in New York, said that a potential deal “strategically makes sense,” and said she does not believe a takeover would be anti-competitive.
The Wall Street Journal reported that CME is in talks to buy Dow Jones Indexes for $700m and media reports suggest a deal may be announced as soon as tomorrow.
A source close to the deal told FOi that: “Higher level talks remain ongoing.” Alexander said that revenue from...