The London Stock Exchange has rejected a takeover approach by Deutsche Boerse, the company which operates the Frankfurt stock exchange.
But the LSE said it had decided to hold discussions with Deutsche Boerse to see whether a 'significantly improved' offer could be agreed.
Deutsche Boerse announced earlier this morning that it had made a proposal 'with a view to making a cash offer for the acquisition of all London Stock Exchange shares'.
It said it was offering 530p per share, valuing LSE at a total of just under £1.35 billion.
