American Exchange Holders OK Buyout

The proposed merger between the American Stock Exchange and the Nasdaq Stock Market’s parent passed a critical challenge by gaining approval from Amex seat holders, who have been deeply divided over the deal. The National Assn. of Securities Dealers and Amex officials say the marriage between the nation’s second- and third-biggest stock markets is imperative to meeting the challenges of an evolving global financial marketplace. But some Amex seat holders feared the deal could threaten their business and the value of their seats. The NASD board has approved the merger. But Amex needed the backing of two-thirds of its 864 members, or seat holders--who include traders, brokers and absentee owners who buy exchange seats and lease them to traders. Seat holders approved the merger by a 622-206 vote, Amex officials said. The merger still requires regulatory approval.