CME Takes Stake in Mexican Exchange Operator
March 9, 2010
CME Group said it took a 1.9 percent stake in Mexico’s main financial exchange operator, as part of an order routing agreement.
CME, the operator of derivatives marketplaces, said it purchased $17 million worth of shares in Bolsa Mexicana de Valores, S.A.B. de C.V. (BMV). CME Group also gets the right to nominate a member to BMV Board of Directors.
The two exchange operators also signed a memorandum of understanding in which CME Group will become the exclusive exchange provider of derivatives order routing services to BMV outside Latin America. BMV will be the exclusive exchange provider of derivatives order routing services to CME Group in Mexico.
BMV's derivative products are offered through its derivatives subsidiary, MexDer.
CME Group and BMV have also agreed to pursue potential joint initiatives including product development, marketing and customer education as well as clearing opportunities.
Additionally, BMV, CME Group and its global strategic partner BM&FBOVESPA will initiate discussions about the transaction and opportunities it might present.
The order routing arrangement is scheduled to begin in 2011.
