The NASDAQ Stock Market (NDAQ) struggle for months to buy the London Stock Exchange to expands it global reach. It got nowhere. London kept turning it away.
It looked like NDAQ finally has a winner in it move to get overseas. It came to an agreement to buy Nordic stock exchange operator OMX, and all was right with the world.
Now Borse Dubai has topped the NDAQ bid by almost 14%, offering over $4 billion.
NDAQ management is beginning to look like the gang who couldn’t shot straight. According to MarketWatch the US exchange company says that the Dubai bid is "inferior". Since when is a higher bid a bad thing?
If NDAQ ups its bid, it risks paying too much to get a strategic asset to get it a footprint in Europe.
The fumbling by NDAQ management has not been lost on Wall St. Its stock is flat over the last year while share in NYSE Euronext (NYX) are up 20%.
NDAQ has shown it can run an exchange, but its M&A record is awful.
Douglas A. McIntyre