# London Stock Exchange Group confirms HKEX withdrawal

- Link: https://www.directorstalkinterviews.com/london-stock-exchange-group-releases-statement-regarding-hkex-withdrawal/412795054
- Published: 2019-10-09T10:09:38+01:00
- Author: Amilia Stone

Further to the announcements made by Hong Kong Exchanges and Clearing Limited (HKEX)
and London Stock Exchange Group (LON:LSE) in relation to HKEX’s possible offer for
the entire issued and to be issued share capital of LSEG, HKEX confirms that it 
does not intend to make an offer for LSEG and is consequently bound by the restrictions
under Rule 2.8 of the Code, save in the circumstances set out below.

The Board of HKEX continues to believe that a combination of LSEG and HKEX is strategically
compelling and would create a world-leading market infrastructure group. Despite
engagement with a broad set of regulators and extensive shareholder engagement, 
the Board of HKEX is disappointed that it has been unable to engage with the management
of LSEG in realising this vision, and as a consequence has decided it is not in 
the best interests of HKEX shareholders to pursue this proposal.

Under Note 2 on Rule 2.8 of the Code, HKEX, and any person acting in concert with
HKEX, reserves the right to announce an offer or possible offer or make or participate
in an offer or possible offer for LSEG or to take any other action which would otherwise
be restricted under Rule 2.8 of the Code within six months following the date of
this announcement in the following circumstances: (a) with the agreement or consent
of the board of LSEG; (b) if any third party announces a firm intention to make 
an offer for LSEG; (c) if LSEG announces a “whitewash” proposal (see Note 1 of the
Notes on Dispensations from Rule 9 of the Code) or a reverse takeover (as defined
in the Code); (d) if the UK Panel on Takeovers and Mergers (the “**Panel**“) determines
that there has been a material change of circumstances; or (e) otherwise with the
consent of the Panel.

HKEX, and any person acting in concert with HKEX, reserves the right to acquire 
and/or offer to acquire LSEG shares or interests in LSEG shares subject to and in
accordance with Rule 2.8 of the Code.

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