PLUS Markets Group has announced a non-binding agreement with Munich Stock Exchange to facilitate dual listings of smaller companies in Britain and Germany.
Under the agreement, PLUS intends to create "PLUS-Europe", a new pan-European market, with Bayerische Boerse, the operator of the Munich exchange, in its first international move.
This would also allow PLUS to offer trading of all securities listed on London Stock Exchange's Alternative Investment Market (AIM) under the European passport rights of Bayerische Boerse.
PLUS chief executive Simon Brickles said it was the first of a number of intended deals with other international markets. The deal will take advantage of the consolidation of regulatory structures on European exchanges. It will also make it easier for firms quoted in Munich to be bought by investors in London.
London-based PLUS, which rivals AIM for the listing and trading for smaller firms, has signed up around 90 stocks out of 1,750 listed on AIM, though the deal with Munich would effectively allow all 1,700 AIM stocks to trade on PLUS automatically.
The Financial Services Authority (FSA) has yet to give PLUS permission to trade every AIM stock on its platform.
© Crimson Business Ltd., 2008
