Quebec is backing an all-Canadian takeover bid of TMX Group as the Toronto Stock Exchange owner seeks to build investor support for its C$3.42 billion (US$3.53 billion) combination with the London Stock Exchange Group PLC.
Quebec Premier Jean Charest said he supports the bid by Maple Group Acquisition, led by Canadian banks and pension funds, because its offer gives greater guarantees on preserving derivatives jobs in Montreal.
“We would much prefer to see ownership in the hands of the Maple Group, if only because we would much rather see Canadian ownership of our stock exchange,” Mr. Charest said Tuesday in an interview. “What we are first of all interested in is making sure that Montreal is able to preserve that niche or expertise.”
Maple Group, whose 13 members include Quebec’s biggest financial institutions, seeks to gain support for its C$3.58 billion takeover bid for the Canadian exchange owner, while TMX and LSE executives are trying to convince shareholders that their C$46.05-a-share all-stock transaction is a better deal. TMX and LSE shareholders vote on the bid June 30.
Mr. Charest’s view is important because regulators in Quebec and Ontario must approve the sale of TMX.
TMX spokeswoman Carolyn Quick declined to comment.