NO WORD ON DEAL

The Hong Kong Futures Exchange (HKFE) and the Stock Exchange of Hong Kong (SEHK) are not ready to announce details of the equity split for the proposed merged exchange, although they are settling close to a 70-30 ratio in favour of the SEHK, according to sources. The Government is believed to have proposed the 70-30 ratio.

Reports yesterday indicated the final ratio would be 72-28, but the source said a final decision had not been made. The two sides are negotiating for concessions on issues such as a cap on brokers, transaction levies and commission rates for brokers before agreeing to a final deal ahead of Friday's deadline. ENOCH YIU