The Hong Kong Stock Exchange and Hong Kong Futures Exchange to merge - but not until mid 2000

The Hong Kong Secretary for Financial Services Rafael Hui has announced that the merger between the Hong Kong Stock Exchange and Hong Kong Futures Exchange was not expected to take place until the middle of 2000. The necessary procedures, including legislation, for such a merger would take time. Hong Kong Financial Secretary Donald Tsang has proposed demutualising and merging the two exchanges and their associated clearing houses into one single listed entity. The two exchanges must agree to arrangements for their demutualisation and merger by September 30, 1999. The necessary legislation is aimed at being enacted by March 31, 2000 and the merged company is expected to be listed on the local stock exchange by September 30, 2000.