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Borse Dubai launches sale of 8.5 million LSE shares - sources

Published 04/09/2014, 19:31
Updated 04/09/2014, 19:40
© Reuters A man walks past the London Stock Exchange in the City of London
LSEG
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LONDON (Reuters) - Borse Dubai has launched an accelerated sale of 8.5 million shares in the London Stock Exchange (L:LSE), representing around 3.1 percent of the company's issued capital, two sources familiar with the matter said on Thursday.

The latest price guidance on the shares is 20.20 pounds each, one of the sources said, valuing the stake at 171.7 million pounds and representing a 3 percent discount to the closing price of 20.85 pounds.

The deal is well covered with books closing at 7:00 p.m. BST (1800 GMT), one of the sources said.

The proceeds from the sale will be used to fully subscribe to the LSE's upcoming rights issue. Bourse Dubai will remain the LSE's largest shareholder with a 17.4 percent stake.

© Reuters. A man walks past the London Stock Exchange in the City of London

Nomura <9716.T> is sole bookrunner on the transaction.

(Reporting by Freya Berry; editing by Keiron Henderson)

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