LSE, Deutsche Börse Announce Further Merger Details

Should the deal go through, current Deutsche Börse chief executive Carsten would lead the new combined group, while LSE chief executive Xavier Rolet would step down. Kenegeter, who joined Deutsche Börse in June last year, would be in charge of a UK plc domiciled in the UK, with headquarters in both London and Frankfurt.

Both parties would become subsidiaries of a combined entity, seeking premium listing on the London Stock Exchange and prime standard listing on the Frankfurt Stock Exchange.

In reference to the UK's referendum on membership to the EU, both the LSE and Deutsche Börse are operating on the basis that "existing regulatory and political structures remain in place".

"As the number of possible scenarios facing the combined group in the event of a leave decision is impossible to model today, the two boards have created the referendum committee to consider and make non-binding recommendations to the boards on the ramifications of such a decision," says a statement from the LSE.