Maple Group Acquisition Corporation, a consortium of 13 of Canada’s leading financial institutions and pension funds, and TMX Group today announced progress the Ontario Securities Commission (OSC) and the Autorité des marchés financiers (AMF).
The OSC has requested its staff develop draft recognition orders with detailed terms and conditions, while the AMF says it intends to approve Maple’s proposed integrated acquisition transaction.
Despite many hiccups, Maple and TMX Group say they remain committed to the transaction and are working towards getting the required regulatory approvals, which include approvals by the OSC, AMF, Alberta Securities Commission, British Columbia Securities Commission and the federal Competition Bureau.
Maple bid would create monopoly: CFAs
Pension funds lead M&A activity“While the transaction remains subject to OSC, AMF and other approvals, these developments move us closer to fulfilling our vision to create an integrated exchange and clearing group that can deliver significant benefits to Canada and participants in Canada’s capital markets,” said Luc Bertrand, spokesperson, Maple Group.
In addition to the discussion with regulators about the draft recognition orders, Maple and TMX Group announced they will also address the concerns previously raised by the Competition Bureau.
“This combination will enhance our ability to contribute to the growth of Canada’s capital markets at a faster pace and enhance Canada’s standing as a financial centre by maximizing our ability to compete and win in the international arena,” said Tom Kloet, chief executive officer, TMX Group. “We look forward to continuing to work with Maple to obtain the regulatory approvals needed to proceed with this transaction.”
The recent developments on the merger deal mean the offer for TMX Group will not be completed by the April 30, 2012 deadline. Maple and TMX Group are in discussions regarding an extension.
The investors in Maple Group are: Alberta Investment Management Corporation, Caisse de dépôt et placement du Québec, CPPIB, CIBC World Markets Inc., Desjardins Financial Group, Dundee Capital Markets Inc., Fonds de solidarité des travailleurs du Québec (F.T.Q.), GMP Capital Inc., National Bank Financial Inc., Ontario Teachers’ Pension Plan, Scotia Capital Inc., TD Securities Inc. and The Manufacturers Life Insurance Company.