The Singapore Exchange (SGX) on Friday lodged a formal application
with Australia’s Foreign Investment Review Board (FIRB) for its
proposed merger with the Australian Securities Exchange (ASX).
This move came after both exchanges announced on February
15 amendments to the proposed merger implementation agreement
that also included new governance arrangements.
Under the revamped merger proposal, both sides pledged to
have an equal number of directors from each country on the
board of the merged entity in a bid to overcome political obstacles
While the FIRB has 30 days to decide on the merger, the deadline
may be extended if necessary.
Should the FIRB give its nod, the merger proposal will then go to
the Australian Treasurer, Wayne Swan, for final approval.
Swan will have to decide whether to lift the 15-per cent cap on
foreign ownership for ASX.
SGX said it will make announcements and update shareholders
as approval processes are cleared.