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Last Updated: Thursday, 26 June, 2003, 21:14 GMT 22:14 UK
Nasdaq Europe to close
The US hi-tech market Nasdaq has said it is to close its European operations, Nasdaq Europe, as the exchange tries to focus on winning more business in the US.

Nasdaq Europe was created in 2001 when Nasdaq took over Easdaq, which was trying to replicate the success Nasdaq was having in the US.

But the slump in demand for tech stocks has taken its toll on the market.

From having 60 listings two years ago, the total has slid to just 38.

Job losses

Nasdaq closed down its Japanese operation, Nasdaq Japan, last year and the closure of Nasdaq Europe - which will lead to the loss of 80 jobs - had been widely expected.

"From the beginning, Nasdaq Europe struggled," said Octavio Marenzi, chief executive of Celent Communications, a consulting firm in the financial-services industry.

"They had a misunderstanding about the market."

The decision is being seen as the first major step by Nasdaq's new chief executive Robert Greifeld.

Nasdaq wants to focus on winning more business from firms wanting to float their shares through initial public offerings in the US.

Alternative option

The London Stock Exchange (LSE) said it was interested in winning the business of former Nasdaq Europe clients.

"We are targeting up to 30 of the 38 Nasdaq Europe companies that are on the market," said a spokesman for the LSE.

"We are very keen to promote the benefits of London and try to convince them to move to London.

"We do offer a serious alternative to Nasdaq Europe and we think we offer the best alternative."




SEE ALSO:
Nasdaq pulls out of Japan
16 Aug 02  |  Business


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