Chicago Board of Trade (CBoT) is marching double-time to
finish its demutualisation by year-end, having finally seen the
conclusion of its four-year long minority shareholder suit on
The court granted final approval to the settlement agreed
between CBoT full members and minority members, thus paving the
way for the exchange to become a shareholder-owned for-profit
Exchange officials said the plan is to finish the
demutualisation process by the end of this year, pending
Securities and Exchange Commission (SEC) approval. While that
timeline seems aggressive to some, exchange officials have
quietly been completing the paperwork and proper filings with
SEC in anticipation of the final court ruling.
The deal approved by the court calls for CBoT to allocate
78% of the equity ownership to full members and 22% to
associate members as well as to provide GEM, Idem and COM
membership interest holders various protections of trading
rights and privileges.
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