Merrill Lynch and Citigroup picks up a stake in MCX

Merrill Lynch and Citigroup picks up a stake in MCX

Merrill Lynch and Citigroup have announced that they have separately taken a 5% stake in the MCX commodity exchange.

These two deals have put the value of the exchange at around USD 1 Billion. The stake has been sold by Financial Technologies (FTIL).

Merrill is said to have paid around USD 50 million for this stake. Citi both their stake at a bit higher price.

MCX deputy MD Joseph Massey said said in a statement on these deals: “These investments from strategic international partners will provide Indian commodity markets and MCX access to global know how, best practices, domain knowledge and technology. The transactions have been done with the prior approval of Forward Markets Commission.”