CBOE Holdings, Inc. (NASDAQ: CBOE) has announced that the Chicago Board Options Exchange has signed a memorandum of understanding with the China Financial Futures Exchange. The MOU is meant to establish “an open channel of communication and lays the foundation for future collaborative efforts between the exchanges.”
The signing ceremony was in Beijing, China. This is not a merger effort. The exchanges plan to develop educational programs designed to build understanding of their respective products, markets, technologies, and regulation. It is also said to create the opportunity for potential future business initiatives such as marketing efforts and product development.
The news is not really helping CBOE as shares are down 0.6% at $25.15 against a 52-week range of $21.55 to $29.56. The exchange’s equity market value is now about $2.2 billion.
JON C. OGG