Financial Technologies refutes reports on MCX stake sale
30 Mar 2009
Financial Technologies India has refuted reports about its initiating stake sale talks with the London Stock Exchange (LSE) and clarified that the company is not planning to sell any stake at the moment, even as reports said the National Stock Exchange of India (NSE) was interested in selling its one per cent stake in the Multi Commodity Exchange of India (MCX).
The company was reacting to report appearing in a leading financial daily titled `LSE in talks with MCX-SX to pick up equity stake.`
Financial Technologies is among global leaders in offering technology IP (intellectual property) and domain expertise to create and trade on next-generation financial markets, it said.
The reports, meanwhile, said the National Stock Exchange of India (NSE) was interested in selling its one per cent stake in MCX and was in talks with the LSE.
National Stock Exchange (NSE), one of the major stock exchanges in India, is planning to offload its stake in the Financial Technologies promoted commodity bourse, Multi Stock Exchange (MCX).
''NSE no longer sees any strategic importance in the investment in MCX,'' the report said quoting an official, adding that Financial Technologies has agreed to the offer and has said that it will facilitate the transaction at an appropriate time.
MCX, which also holds a one per cent stake in NSE, however, said it would not sell its stake in NSE.
NSE's decision seems to be a sequel to MCX's proposal to enter equity trading. MCX has set up MCX SX which currently undertakes currency derivatives trading. It's awaiting SEBI approval for beginning equity trading on the new exchange. This could compete with NSE's business.
NSE, on the other hand, is the anchor investor in NCDEX, which is MCX's rival commodity bourse.
