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Nasdaq Stock Market Inc. and Borse Dubai were again forced to raise their bid for Scandinavian exchange company OMX AB to 265 kronor a share, or a total of about 32 billion kronor ($4.89 billion). The two also announced they now jointly control 47.6% of OMX, which runs seven Nordic and Baltic exchanges. Nasdaq and Dubai signed a complex takeover agreement on September 20, under which Dubai would buy OMX and pass it on to Nasdaq in exchange for a 19.99% stake in Nasdaq OMX as well as Nasdaq's 28% stake in the LSE (full story). Dubai would also gain access to Nasdaq-OMX trading technology as well as branding rights. Hours after the nasdaq-Dubai deal was announced, Qatar bought a 9.98% stake in OMX and urged OMX's shareholders to reject the Nasdaq-Dubai offer. Quatar is challenging Dubai to become the Gulf's financial center. Shares of OMX climbed to a multi-year high of 283 kronor a share.

Sources: Press Release, Wall Street Journal, Bloomberg, Reuters
Commentary: Dubai, Nasdaq Strike OMX DealSchumer on Nasdaq Sale: Not So FastAn Exchange ETF Would Have Been a Top Performer Over Recent Years
Stocks/ETFs to watch: NDAQ. Competitors: NYX
Earnings call transcript: The Nasdaq Stock Market Q2 2007

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Source: Nasdaq-Dubai Raise Bid for OMX