Nasdaq OMX Group, the US-based exchange group, has revealed its intentions to become a recgonised investment exchange (RIE), allowing it to launch a London-based listing venue.
The exchange group claims the proposed new listing services will allow market participants to access its multiple listing markets more efficiently and with less bureaucracy. These markets include the US (Nasdaq), the Nordic (OMX) and Gulf (Dubai International Financial Exchange) regions and, following regulatory approval, London.
Companies that wish to list on any one of the group’s exchanges will be able to do so through an integrated application process and, in some markets, utilise their filings with the US Securities and Exchange Commission.
“Our focus is on providing listed companies with better and more efficient ways to attract multiple types of investors,” commented Magnus Bocker, Nasdaq OMX president, in a statement. “Our new planned listing venue in London will provide additional European visibility to our listed companies and further expand our reach across Europe.”
The firm has also announced a new pricing model, based on global transaction volume. The tiered pricing structure will provide market participants trading across its London, US and Nordic markets – as well as its soon to be launched Nasdaq OMX Europe multilateral trading facility – with a lower cost of trading, based on aggregate volume, the exchange group said.
“We have listened to our customers carefully and believe this is the model for how global exchanges should deliver products and services,” added Bob Greifeld, CEO of Nasdaq OMX. “While this has been the norm in most industries, the exchange space has been the exception. Nasdaq OMX is the first exchange to execute on the promise of consolidation, which is to function as an integrated, global enterprise.”
The new transaction pricing model will come into effect on 26 September, the same day as Nasdaq OMX Europe begins trading operations. Nasdaq OMX markets will begin accepting global listing applications immediately.