The Dubai International Financial Exchange (DIFX) has created a link with Clearstream, the international central securities depository, that will facilitate more dual listings on the exchange.
The link has established a mechanism that enables securities to be moved easily to and fro between the DIFX and other stock markets on which a DIFX stock is listed. It also enables a new tranche of a security already handled by Clearstream to be issued through the DIFX.
Jeffrey Tessler, CEO of Clearstream said: “We are delighted that the DIFX has chosen to use Clearstream’s single window access to global markets to attract further listings. We will provide the DIFX with the capacity to settle transactions in a huge range of international and domestic securities in the 43 markets covered by our network.”
Per E. Larsson, Chief Executive of the DIFX, said: “The link provides issuers with an efficient avenue to dual list their securities on the DIFX in addition to their home market. Investors will benefit as the range of securities on the DIFX expands.”
Clearstream is the post trade services arm of Deutsche Börse Group, the world’s largest exchange operations company when measured by revenues. It offers a comprehensive clearing, settlement and custody service for bonds both domestic and cross-border, equities and investment funds to over 2500 customers worldwide.
Hamed Ali, Executive Officer of the DIFX, said: “The DIFX is preparing for further significant primary listings from within its region as well as dual listings.
“Our connection with Clearstream is a significant step in our further integration with the international capital markets.”
Robert Tabet, Head of Clearstream’s Dubai office said “This link is further evidence of Clearstream’s commitment to the DIFX and the rapidly growing region that it serves.”
