This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/go/rss/int/news/-/news/business-15831403
The article has changed 4 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| Tokyo and Osaka stock exchanges to merge | |
| (about 1 hour later) | |
| The Tokyo Stock Exchange (TSE) and the Osaka Stock Exchange (OSE) have said they will merge to combat slowing market conditions in Japan. | |
| The move will create the third-largest bourse in the world, and the largest in Asia. | |
| Talks of a merger began after Japan lost its place as the world's second-largest equity market to China. | Talks of a merger began after Japan lost its place as the world's second-largest equity market to China. |
| Equities trading and new listings have been slow in Japan, as the economy suffers deflation and sluggish growth. | Equities trading and new listings have been slow in Japan, as the economy suffers deflation and sluggish growth. |
| The BBC's Roland Buerk in Tokyo says the move is an attempt by Japan to maintain its place in the world. | |
| He says the TSE is trying to keep up with the competition, and become more efficient. | |
| Some of Japan's most iconic companies are listed on the TSE, including Toyota Motor and Sony. However its benchmark Nikkei 225 index has been in decline for years. | |
| In terms of share sales, Japan falls short of rival China. | |
| Japan had $551m worth of initial public offerings this years, according to Bloomberg data. That accounts for 0.5% of global trade. | |
| In comparison, China's share sales amounted to $39bn during the same time period. | |
| Our correspondent says this decline is what is driving this merger. | |
| He says they are hoping that by combining their resources they can once again become one of the growing hubs of the world in terms of shares. | |
| The two exchanges will combine operations in 2013, after the larger Tokyo bourse buys two-thirds of the Osaka exchange in a public tender offer. | The two exchanges will combine operations in 2013, after the larger Tokyo bourse buys two-thirds of the Osaka exchange in a public tender offer. |
| Under the agreement, the TSE will pay Y480,000 ($6,230; £3,990) for each OSE share. Shares of OSE closed at 421,000 yen on Monday. | |
| In a statement, the TSE said they expected to save about 7bn yen in costs related to the integration of trading systems. | In a statement, the TSE said they expected to save about 7bn yen in costs related to the integration of trading systems. |