Also a no-brainer that Aussie “no” is best for SGX

Australia Treasurer Wayne Swan today finally came out into the open to snub the Singapore Exchange’s offer for ASX, describing his formal rejection as a “no-brainer.”

I would like, as a teeny-weeny shareholder of SGX, to return the compliment. It’s a clear no-brainer that the rejection is good, no great, news, for SGX.

I have always thought the Magnus Bocker-inspired initiative a baaaaaad thing and had said so here.

As for the Straits Times and the Wall Street Journal reporting analysts fretting that if SGX doesn’t get to work trying to find another partner, it could become a target itself, let me say that’s the least of SGX worries! Instead, if that were to happen, it should consider itself damn lucky.

If it does attract suitors such as the Hong Kong Exchange or the Shanghai Exchange, that would be the best thing to happen to our Exchange for a long time!

The greatest fear is that those who call the shots at SGX may decide to lead it into another costly, pointless and time-wasting dance leading to yet another cul de sac!


4 thoughts on “Also a no-brainer that Aussie “no” is best for SGX

  1. Even if it’s not a bad thing, the Aussie gahmen probably says no too.

    If I am a strategic thinker in the Aussie gahmen and there’s some kind of panel monitoring the health of the Aussie economy, I’ll have alarms ringing and two lights flashing red – SP Ausnet, SingTel Optus.

    The SGX initiative would raise another alarm and a light would start flashing amber.

  2. Xizor2000, my dear, the baaaaaaad thing I was referring to was what might happen to SGX if its OTT offer had succeeded!

    As for the other two purchases by Sg Inc, we paid good money. It was a willing buyer/seller basis. What’s there for Oz to crap about 🙄 If anyone shld be unhappy it shld be the Sg side, for overpaying massively for Optus, at least!

  3. Oops. Paiseh. I was talking about the national securities implications for Australia. On a pure business basis, there is of course nothing to complain about. Had everything been a matter of business considerations, Huawei would have built part of the UK’s 3G network, a UK citizen of Chinese descent would have bought the Ark Royal Aircraft Carrier, and perhaps even China wouldn’t object when Richard Li tries to sell off PCCW to Singapore, IIRC.

  4. I think most things nowadays are pure business and national security issues r but an excuse, Xizor2000. Oz probably thinks it makes better biz sense to go with some US or European entities. Cultural cringes die hard. Ok, Oz sells stuff to China too but then Zhongkuo is too gi-normous to ignore or not kow tow to. But Sg? We wld be gd n properly put in our place if ASX marries SHG n perhaps at lower price too! 😦

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