NASDAQ OMX and BM&FBOVESPA Sign Commercial Partnership Contract
Contract Facilitates Mutual Distribution of Market Data and Offering of NASDAQ OMX Issuer Products and Corporate Services to Brazilian Listed Companies NASDAQ OMX to Launch Order Routing Service to Connect U.S. and Brazilian Broker/Dealers
NEW YORK, Dec. 28, 2009 (GLOBE NEWSWIRE) -- The NASDAQ OMX Group, Inc. (Nasdaq:NDAQ) today announced that it has signed a commercial contract with BM&FBOVESPA (BM&FBOVESPA:BVMF3) regarding global distribution of market data and the provisioning of NASDAQ OMX products and corporate services to public companies in Brazil. The contract confirms terms regarding market data and corporate services covered in the previously announced Memorandum of Understanding entered between the two companies on Oct. 23rd, 2009.
In addition to the contract regarding market data and corporate services, NASDAQ OMX separately advised BM&FBOVESPA of its intention to develop a communications system to facilitate the routing of orders between participating brokers located in the United States and brokers located in Brazil. This state-of-the-art connectivity service will enable participating North-American broker dealers to send orders for cash equities traded in BM&FBOVESPA through contractual relationship with a Brazilian broker, and participating Brazilian brokers to send orders for cash equities traded in NASDAQ OMX through a contractual relationship with a North-American broker dealer. Launch of a communications system by a technology subsidiary of NASDAQ OMX will be subject to any required regulatory approvals and other customary conditions.
"We believe our agreement with the BM&FBOVESPA is a strong blueprint for how global exchanges can cooperate and leverage their global networks, key assets and the benefits of their geography," said Bob Greifeld, Chief Executive Officer of the NASDAQ OMX Group. "We are very pleased to formalize our relationship with BM&FBOVESPA through a contract that we are confident will open up new revenue streams and opportunities for both companies and investors. Brazil is a dynamic and fast-growing market on a global scale as well as within the Latin American region. We are thrilled to have the opportunity to partner with BM&FBOVESPA, an important global exchange player, to expand our respective businesses. NASDAQ OMX is also pleased to launch a high-speed connectivity service for U.S. and Brazilian brokers."
He added, "With agreements such as this one we will provide benefits to investors by enhancing global market transparency and access to corporate governance services on multiple continents."
The contract entails the following collaboration areas:
* A commercial agreement for NASDAQ OMX to perform non-exclusive, international electronic distribution of market data related to the prices of stocks and financial assets traded on BM&FBOVESPA markets, and for the latter to perform non-exclusive distribution of market data related to the prices of stocks and financial assets traded on NASDAQ OMX markets; * A commercial agreement for BM&FBOVESPA to offer to Brazilian public companies products and services developed by NASDAQ OMX for support and facilitation of activities performed by these companies, including investor relations activities, structuring and assistance to boards of directors, communications with the market and market analysts.
NASDAQ OMX will continue to collaborate with BM&FBOVESPA on other strategic opportunities such as potential technology cooperation.
Currently, NASDAQ OMX has various commercial partnership agreements via our market technology relationships with 70 markets around the world. Recent broader collaborations include the Kuwait Stock Exchange, Osaka Stock Exchange, as well as the forthcoming launch of N2EX, a new power market in the UK.
About BM&FBOVESPA:
BM&FBOVESPA S.A.-- The Brazilian Securities, Commodities and Futures Exchange was created in 2008 with the integration between the Brazilian Mercantile & Futures Exchange (BM&F) and the Sao Paulo Stock Exchange (Bovespa). Together, the companies have created one of the largest listed exchange groups in the world, the second in the Americas, and the leading exchange in Latin America. The Exchange features a vertically integrated business model, with trading, registration, netting, settlement, risk management, market data, and central securities depository services. BM&FBOVESPA's state-of-the-art technological resources provide investors with an efficient and secure trading and post-trading environment. Among its broad range of trading products, the Brazilian Exchange offers equities, securities, financial assets, indices, interest rates, agricultural commodities, as well as foreign exchange futures and spot contracts, and acts as a central counterparty for all of its market segment through its four clearinghouses -- equity, derivatives, foreign exchange, and securities. http://www.bmfbovespa.com.br
About NASDAQ OMX:
The NASDAQ OMX Group, Inc. is the world's largest exchange company. It delivers trading, exchange technology and public company services across six continents, with approximately 3,700 listed companies. NASDAQ OMX offers multiple capital raising solutions to companies around the globe, including its U.S. listings market, NASDAQ OMX Nordic, NASDAQ OMX Baltic, NASDAQ OMX First North, and the U.S. 144A sector. The company offers trading across multiple asset classes including equities, derivatives, debt, commodities, structured products and exchange-traded funds. NASDAQ OMX technology supports the operations of over 70 exchanges, clearing organizations and central securities depositories in more than 50 countries. NASDAQ OMX Nordic and NASDAQ OMX Baltic are not legal entities but describe the common offering from NASDAQ OMX exchanges in Helsinki, Copenhagen, Stockholm, Iceland, Tallinn, Riga, and Vilnius. For more information about NASDAQ OMX, visit http://www.nasdaqomx.com.
Cautionary Note Regarding Forward-Looking Statements
The matters described herein contain forward-looking statements that are made under the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements about NASDAQ OMX's products and offerings. We caution that these statements are not guarantees of future performance. Actual results may differ materially from those expressed or implied in the forward-looking statements. Forward-looking statements involve a number of risks, uncertainties or other factors beyond NASDAQ OMX's control. These factors include, but are not limited to factors detailed in NASDAQ OMX's annual report on Form 10-K, and periodic reports filed with the U.S. Securities and Exchange Commission. We undertake no obligation to release any revisions to any forward-looking statements.
NDAQG
CONTACT: The NASDAQ OMX Group, Inc. Media Contacts: Bethany Sherman +1 212 401 8714 bethany.sherman@nasdaqomx.com Carl Norell +46 8 405 6639 carl.norell@nasdaqomx.com BM&FBOVESPA S.A. Media Contacts: +55 11 2565-7842 + 55 11 2565-7313 imprensa@bmfbovespa.com.br
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