According to a Monday New York Times story, billionaire investor Warren Buffet’s Berkshire Hathaway had?made an ?indicative proposal? to purchase?NYSE Euronext?(NYSE:NYX) in?November. The interest supposedly didn’t last too long and the IntercontinentalExchange (NYSE:ICE) became the $8.2 billion suitor of choice.
But before this, a NYSE Euronext proxy statement sent to investors on Monday showed that it had its investment bankers, Perella Weinberg Partners, conduct talks with possible bidders in addition to ICE. The filing mentions a Company A, a ?large industrial and financial holding company? which has been believed to be Berkshire, fitting Buffet’s criteria for a deal: a big brand name and a steady stream of cash generation, reported the New York Times.
Furthermore, the proxy showed the “Company A” Nov. 28 proposal came in lower than ICE’s offer and it included additional conditions. Any takeover offers presented had to undergo due diligence and NYSE Euronext needed to sell Liffe for a minimum sale price as noted by the possible buyer.?
NYSE Euronext?s board had been looking to raise approximately $5 billion for the possible Liffe sale and a high price could have made the deal more appealing to Berkshire.
The potential deal started unraveling by Dec. 13 as Company A had not upped its offer as compared to ICE’s. On Dec. 20, the $33.12 per share winning deal went to the exchange. ?
What a different picture this would have been painted had Buffet’s company won the bid.?