Singapore pushes hard for ASX deal

The head of Singapore's stock exchange says Australian companies will be helped and enjoy better growth if it acquires ASX.

Singapore Exchange Ltd (SGX) will step up its campaign for a A$8.4 billion ($11.5 billion) takeover of Australia's stock exchange this month, when it applies to the Foreign Investment Review Board (FIRB) and Treasurer for approval.

The FIRB can consider the proposed deal for up to 120 days and it must also be approved by the federal Parliament, with the cross benches having opposed it.

"For many of the listed companies - Australian listed companies - they will grow," SGX chief executive Magnus Bocker told ABC television on Sunday.

"They, over time, need to find money for their growth, either in Australia or outside."

The plan has been greeted with hostility by many Canberra politicians, who view it as a foreign takeover.

The SGX was pressured into trying to assuage those fears and is now promising equal Australian board representation and more investment in Australian operations.

Bocker said he had been meeting Australian shareholders and companies and assuring them the deal would help Australia to become a regional financialhub.

"I think we have good support from a lot of the listed companies," he said. "I trust that politicians will make the right decision."

Bocker said Australia's mining sector and Singapore's financial sector would be mutually beneficial in a merged securities exchange.

ASX Ltd yesterday closed down A39c at A$36.36.

- AAP