LEADERS
DUNCAN NIEDERAUER OF NYSE EURONEXT Dun-
can Niederauer, the CEO of NYSE Euronext, was thrust into the spotlight by news that NYSE Euronext and Deutsche Borse planned to merge. The all-share deal would create the world’s biggest exchange in terms of revenue. Niederauer, described as “the basketball-playing American” by the Financial Times of February 11, would take the role of chief executive at the merged company, while Reto Francioni, “his soft-spoken Swiss-German counterpart” at Deutsche Borse, would become chairman. Niederauer, who has held the top job at NYSE Euronext since December 2007, embarked on a charm offensive to persuade stakeholders in Germany and the US of the merits of the deal. With national political interests involved on both sides, the two exchanges aimed to present the deal as achieving a balance between Germany and the US. Duncan
Niederauer | Coverage by region
APAC (35%)
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EMEA (65%)
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COMMUNICATION DIRECTOR
Feb 15 “Deutsche Börse and NYSE set out deal terms”, Financial Times (Feb 16)
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NYSE Euronext | Obstacles ahead
Feb 11 “D Börse and NYSE Euronext near tie-up”, Financial Times (Feb 12)
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Feb 18 “Deutsche BörseNYSE Euronext board faces restructuring in 2016”, Financial Times (Feb 19) 06.01.2011
a few weeks earlier (“Questions remain over pay at Barclays”, FT, March 8). Diamond was able to announce some good news, unveiling a surge in profits in February. However, reporters were mindful of the challenges facing the new CEO. “But the strong results, which propelled Barclays’ shares up 5.8%, belied the uphill climb facing the bank and its new chief executive, Robert Diamond, as they try to slim down and boost returns” (WSJ US, February 16). An article in the FT acknowledged the pressure facing Bob Diamond, but asserted that he brought “a new breath of focus, discipline and energy” to Barclays (FT, March 5). Despite becoming a target for public outrage over bankers’ lavish pay packets, Bob Diamond’s coverage in the business publications monitored in the CARMA survey was 82 per cent favourable and only two per cent negative.
Niederauer insisted the transaction was not a takeover, even though Deutsche Borse was to get 60 per cent of the new company and provide 10 out of the 17 board members. In a Wall Street Journal interview dated February 16 posted on the Financial News website, Mr Niederauer said that he had told politicians: “We have been focused on what this isn’t. It isn’t a takeover. Of course [Deutsche Borse] gets more of the equity because they have a larger market cap. The board will be balanced, but in line with the ownership structure. Don’t be too focused on the name…” The two would-be partners launched a contest to find the name for the combined exchange. Renaming any national exchange was “‘a very emotional’ issue” acknowledged Niederauer (FT, February 18). “There are big hurdles to clear”, he was quoted as saying by the Wall Street Journal US (“NYSE Takeover Faces Touchy Issues”, WSJ USS, February 16). Clearly, Duncan Niederauer will need all his resources of charm and persuasion to overcome the obstacles.
BERNARD ARNAULT OF LVMH Bernard Arnault is CEO of Moët Hennessy Louis Vuitton, usually known as LVMH, which amongst other luxury brands owns Christian Dior. A hard-nosed entrepreneur, he has amassed a collection of prestigious brands managed by his many sub-companies. He ranks fourth in Forbes’ latest list of the world’s wealthiest people. Bernard Arnault’s acquisitive streak put him in the glare of the media during the period covered by CARMA’s survey, in which he ranked 21st globally. Arnault agreed the acquisition of Italian jeweller Bulgari with its family leaders Paolo and Nicola Bulgari, hailing it a “transformational deal”. He told the FT: “This is not so much an acquisition but an association between two families sharing a common vision and philosophy”, (“Bulgari is new jewel in LVMH crown”, FT,