Tokyo, New York stock exchanges seek tie-up

/ Source: The Associated Press

Japan's main bourse, the Tokyo Stock Exchange, is in the final stages of alliance talks with the New York Stock Exchange and may announce the content of an agreement at the end of this month, officials said Wednesday.

The two exchanges have been discussing cooperating in a range of areas and a possible capital tie-up.

"We are in the final stages (of talks)," TSE President Taizo Nishimuro was quoted as saying by Satoshi Futaki, a bourse spokesman.

Nishimuro, who made his remarks at a news conference Tuesday, said he hopes the two sides can make an announcement on cooperation around Jan. 31, when the TSE will hold a reception in New York marking the 20th anniversary of its branch there, the spokesman said.

The TSE president added, however, that the first announcement on the range of cooperation will be limited, Futaki said.

While a capital tie-up between the two bourses will be difficult before the TSE goes public by 2009 as planned, it is expected to bring them a step closer to building a global securities trading platform as other major bourses also race to find global partners and attract more investors and corporations.

The TSE has been seeking minor alliances with overseas bourses including the South Korean and Chinese exchanges, while U.S. and European counterparts have been aggressive in finding merger partners.

Two days before arriving in New York on Jan. 30, Nishimuro will attend a Paris meeting of stock exchange officials, where he is expected to talk with NYSE Chief Executive John A. Thain, Futaki said.