The London Metal Exchange (LME) has received several expressions of interest with regard to potential strategic transactions.
The Board, which is being advised by Moelis & Company, will begin a formal process which may or may not lead to an acceptable offer for the company being received.
The interest shown in the LME, where total trading volumes are currently at record levels, reflects the importance of the exchange in global commodities markets.
“We have built a modern, innovative and successful exchange vital to those companies that own it and use it every day,” said Martin Abbott (pictured), chief executive of the LME. “The LME’s future as the world's leading metal exchange is more secure today than at any point in its 130 year history.”
Average daily volume is up 18 per cent in 2011, and up to the end of August 93 million lots traded, the equivalent of USD10.5 trillion and 2.2 billion tonnes of metal. In 2010 the Exchange saw record trading volumes of 120 million lots, the equivalent of USD11.6 trillion or 2.8 billion tonnes of metal.
The Exchange accounts for 80 per cent of traded volume in global metal futures transactions and LME prices are used worldwide by miners and consumers every day.
Earlier this month the Exchange announced further progress in its project to capture the value of its clearing business with the appointment of a managing director of post trade services.
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