PRINCETON, NEW JERSEY, US and MINNEAPOLIS, MINNESOTA, US — The Commodity Futures Trading Commission (CFTC) has approved the transfer of Minneapolis Grain Exchange (MGEX) Contract Market Designation to Minneapolis Grain Exchange, LLC, an entity created for Miami International Holdings (MIH) to acquire MGEX.
On Aug. 14, MIH and MGEX announced they had entered into a definitive agreement and plan of merger under which MIH agreed to acquire MGEX for a combination of cash and MIH common stock, and on Sept. 9 MGEX membership voted in favor of demutualization to proceed with the acquisition.
With CFTC’s approval MIH’s acquisition of MGEX is expected to close on Dec. 4, 2020, subject to the satisfaction of customary closing conditions.
“We are thrilled by the CFTC’s approval and thank all of the CFTC commissioners for their vote of confidence in the merger between MIH and MGEX,” said Thomas P. Gallagher, chairman and chief executive officer of MIH. “We are eager to close in the coming days and begin to pursue the numerous growth opportunities that we have planned for MGEX. This transaction would not have been possible without the decision by the MGEX seat holders to first demutualize, and we are grateful for their support.”
Upon closing, MGEX would become a wholly owned subsidiary of MIH.
“We are very pleased that the CFTC has approved the transfer of our Contract Market Designation,” said Mark G. Bagan, president and CEO of MGEX. “We would like to thank Chair Tarbert and all of the CFTC commissioners and commission staff for their support throughout the entire approval process.”