Bloomberg News

LSE Would Sacrifice Canada With TMX Deal, Maple Group CEO Says

June 15, 2011

June 15 (Bloomberg) -- A C$3.58 billion ($3.65 billion) all-Canadian bid to buy the Toronto Stock Exchange owner would preserve the health of Canadian companies and the domestic economy, Maple Group Acquisition Corp. Chief Executive Officer Luc Bertrand said.

“The LSE proposal makes no sense when weighed against Maple’s alternative,” Bertrand said today during an event hosted by the Canadian Association of Petroleum Producers in Calgary. Bertrand, the former head of the Montreal Exchange derivatives market who became deputy CEO at TMX before leaving in 2009, is a vice chairman at National Bank of Canada, a member of Maple Group.

“The status quo would be preferable than offering TMX on a platter to LSE,” he said.

Maple Group, whose 13 members include Toronto-Dominion Bank, Manulife Financial Corp. and Alberta Investment Management Corp., faced off against TMX Group Inc. at the Calgary luncheon to gain support for Maple’s takeover of the Canadian exchange owner. TMX and London Stock Exchange Group Plc are trying to gain support for their merger proposal ahead of a June 30 shareholders vote, while Maple is fighting to woo investors to its rival offer.

The London-based exchange would favor the U.K. economy over Canada’s and would use the TMX purchase to expand its business in the U.S. rather than Canada, Bertrand said. Canadian energy and mining companies would lose the “world-class” access to capital that they currently have with the TMX, he added.

--Editors: Joanna Ossinger, Jeff Sutherland

To contact the reporters on this story: Jeremy van Loon in Calgary at; Doug Alexander in Toronto at

To contact the editors responsible for this story: David Scanlan at; David Scheer at

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