Borsa Istanbul (BIST) closed the acquisition of all of London Metal Exchange's shares in clearing house LCH Clearnet yesterday. The London Metal Exchange, the world's oldest and largest market for industrial metals, had until last year cleared its trades on LCH Clearnet. But the exchange now clears trades at its own clearinghouse. Borsa Istanbul, which is acquiring all of London Metal Exchange's 2 percent stake in LCH Clearnet, will partner with the London Metal Exchange in listing market data for the exchange's steel billet contract. The two companies also expect to extend their partnership. Vice President of Borsa Istanbul, Hüseyin Zafer, said that since last year, Borsa Istanbul has been trying to restructure and to establish new ties with its counterparts in the U.S. and Europe. "With these agreements we are proud to start a partnership with Hong Kong Exchanges and Clearing group," Zafer said. "The partnerships of Borsa Istanbul, which is already a financial hub for its region, are now stronger than ever." "The Hong Kong Exchanges and Clearing group looks forward to working with them (Borsa Istanbul) on future initiatives, not only in data and base metals, but also across other asset classes," said Garry Jones, chief executive of the London Metal Exchange which is owned by the Hong Kong group.
