M&A

12 November, 2009

UPDATE 1-Deutsche Boerse, SIX buy Dow Jones stake in Stoxx

* German/Swiss partners pay 132 mln eur for DJ's 1/3 stake

* Dow Jones could get another 29 mln if performance good

* Equity-financed deal set to close in Q1 2010

(Adds quotes and background)

FRANKFURT, Nov 12 (Reuters) - Germany's Deutsche Boerse (DB1Gn.DE) and Swiss partner SIX Group will pay 206.1 million euros ($309.1 million) in cash to buy out Dow Jones & Co and become sole operators of index provider Stoxx Ltd, Deutsche Boerse said.

The deal includes a payment of 132.1 million euros for Dow Jones & Company's one-third stake in Stoxx and 74 million euros for intellectual property rights acquired by Stoxx, the German stock exchange operator said on Thursday.

"There will be the opportunity for Dow Jones & Company to earn up to a further 29 million euros depending on business performance, with any payment to occur by mid-2011," it said in a statement.

Deutsche Boerse, SIX and Dow Jones -- a unit of Rupert Murdoch's News Corp (NWSA.O) -- had each held a one-third stake in Swiss-based Stoxx. After the sale, Deutsche Boerse will own 50 percent plus one share and consolidate Stoxx results.

The equity-financed deal is expected to close in the first quarter of next year, Boerse said.

SIX Group and Deutsche Boerse AG intend to set up a new entity to perform index calculations, with SIX Group owning 50 percent plus one share, it added. (Reporting by Michael Shields)

Source: http://www.reuters.com