Wednesday, February 9, 2011

NYSE-Deutsche Börse Merger: What to Call the Combined Company?

NYSE Euronext as well as Germany’s Deutsche Börse said they are in advanced talks upon a possible merger. But while nearly everything regarding the particular “possible” deal seems to be any fait accompli, there remains a single not-so-tiny question mark.

The actual companies said today any deal will become all-stock, leave Deutsche Borse shareholders with the roughly 60% stake in the particular combined company, as well as see the merged exchange have dual HQ in New York and Frankfurt. They also have worked out who the actual CEO will become (Duncan Niederauer, now NYSE Euronext’s CEO).

But just what will the combined mega-exchange be called?

Any brand new name will have to be able to navigate two truths: 1) The particular Germans will be in charge from the landmark NYSE. 2) Each company’s name already will be any mouthful on it's very own.

A quick reminder: The particular NYSE Euronext owns the actual New York Stock Exchange in Manhattan, as well as the actual stock exchanges in Paris, Amsterdam, Brussels as well as Lisbon. NYSE Euronext itself was the actual result of any trans-Atlantic mega merger regarding stock exchanges. In 2006, NYSE Group announced that was taking over the actual pan-European exchange, Euronext NV. In which deal was overseen by John Thain, the actual then-CEO regarding NYSE Group and also later the (deposed) CEO regarding Merrill Lynch, and also now CEO regarding CIT Group. For it's part, Deutsche Börse owns the particular major stock market in Germany as well as the half interest in Eurex, a major derivatives market.

But back to be able to the particular names. Here are the few ideas:

1. Deutsche NYSE: Doesn’t have the right ring.
2. NYDeutsche: Implies a friendly marriage associated with New York and Germany. Would look good upon “I HEART NYDeutsche” big t-shirts in Times Square. But in fairness, any kind of new name can’t list New York first. The actual Europeans are running the show.
3. Börse NYSE: Seems better, but it leaves off Euronext entirely. That may not be any great idea. European regulators will have to be able to approve the merger of NYSE Euronext as well as Deutsche Börse, and the particular Old World may not become happy to strip their Euronext off the combined company’azines name.

Tell us what you think, readers. What’utes your own reaction to be able to the fresh mega stock exchange? Just what should it become called.

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