Chicago Stock Exchange Sold To NYSE's Parent Company

CHICAGO, IL — Intercontinental Exchange, the parent company of the New York Stock Exchange, has agreed to buy the Chicago Stock Exchange, both parties announced Thursday. The board for CHX Holdings Inc., the Chicago exchange's parent company, has already unanimously approved the sale, which still needs the federal Securities and Exchange Commission to sign off on it.

“After an in-depth review of strategic alternatives for CHX, we believe this transaction is clearly in the best interests of CHX stockholders and positions the organization well going forward,” CHX board chairman Matthew Frymier said in a statement.

Terms of the sale were not released, but the Wall Street Journal reported last week that Atlanta-based Intercontinental Exchange was spending around $70 million for the Chicago exchange. Customers aren't expected to see any disruption because of the purchase, and while the exchange will remain in Chicago following SEC approval, a finalized deal would end more than 135 years of local ownership.

RELATED: Chinese Investor To Buy Chicago Stock Exchange

“We are pleased to enter this agreement with the world’s leading exchange operator,” John Kerin, CEO and president of the Chicago exchange, said in a statement Thursday. “ICE is a proven innovator in the Exchange space and we are looking forward to joining its family of exchanges.”

This isn't the first recent attempt by an outside company to purchase the Chicago Stock Exchange. In March, a potential $25 million deal between CHX Holdings and Chinese-led investment group North American Casin Holdings fell through after two years. The sale was squashed by the SEC, which objected to Chinese involvement in a securities exchange.

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