The Chicago Board of Trade said on Monday it had received the go-ahead from US securities regulators for a demutualisation plan that has been years in the making. The No 2 US futures exchange said its members would vote on April 14 on the proposed shift to a for-profit corporation, a move that could set the stage for an initial public offering. The vote was scheduled after the Securities and Exchange Commission declared effective the CBOT's registration statement, which includes a proxy statement and prospectus outlining the proposed restructuring.
Materials are expected to be distributed to CBOT members shortly, in preparation for the April vote.
"The proposed restructuring transactions will enhance the CBOT's competitive position while preserving our ability to provide trading benefits and opportunities to our member-owners and customers," CBOT Chairman Charles Carey said in a statement.
The 157-year-old CBOT hopes to follow the success of the Chicago Mercantile Exchange, the largest US futures market, which held an IPO in late 2002 and has seen its share price soar to more than $200 from an initial $35 per share.
As a for-profit corporation, the CBOT thinks it will be better-equipped to raise capital and pursue strategic opportunities.
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