Deutsche Boerse AG, operator of the Eurex futures platform and Frankfurt Stock Exchange, has agreed to buy New York Stock Exchange parent NYSE Euronext for $9.53 billion in a deal that creates the world's largest owner of equities and derivatives markets.

Deutsche Boerse will swap one share of its own stock for one share in the new company, while every NYSE Euronext share will be exchanged for 0.47 share, according to a statement today.

Deutsche Boerse will control 60 per cent of the new corporation. Reto Francioni, the chief executive of Frankfurt-based Deutsche Boerse, will serve as chairman. Duncan Niederauer, chief executive of New York-based NYSE Euronext, will keep that title at the combined organisation.

While the merged entity will list corporations with about $15 trillion in value, more than any other exchange, what may prove more lucrative is ownership of growing venues for trading futures and options, said Rich Repetto, an analyst at Sandler O'Neill and Partners LP.

The union follows Singapore Exchange's October bid for ASX, which runs the Australian stock market, and London Stock Exchange Group's agreement last week to buy Canada's TMX Group Inc.

Deutsche Boerse will get 10 of 17 seats on the combined company's board, according to today's statement. The deal values NYSE Euronext at 8.3 times earnings before interest, taxes, depreciation and amortization. That compares with 9.35 times Ebitda for TMX and 18.45 for ASX, the data show.

About 37 per cent of revenue at the joined company will come from derivatives trading and clearing, making it the largest unit based on 2010 revenue, according to today's statement. Cash listings along with trading and clearing accounted for 29 per cent, settlement and custody made up 20 per cent, and market data and technology services was 14 per cent, the statement said.

NYSE Euronext shares fell 3.6 per cent to $38.04 at in New York, while Deutsche Boerse slipped 0.9 per cent to €60.77.

Bloomberg