The London Stock Exchange stepped up its fight against a hostile bid from Nasdaq Stock Markets today, by revealing a big jump in earnings.
In a statement three weeks ahead of schedule, Europe's largest share market said its pre-tax profit for the final three months of 2006 rose 12% to £44.2m.
'We are confident of an excellent outcome for the current financial year and continuing strong business fundamentals should ensure a strong performance for the next financial year ', LSE said in a statement.
'This excellent performance supports the board's rejection of Nasdaq's offer which significantly undervalues the business and the Exchange's unique strategic position,' it said.
The bid from Nasdaq, which owns just under 30% of the LSE, values the London exchange at £2.7 billion.
Nasdaq said yesterday that strong third-quarter figures from LSE would not change its view on the value of the business.
LSE shares have more than trebled over the past two years as it has attracted -- and rejected -- a procession of suitors.
The world's stock exchanges are under pressure to consolidate as customers push for global services and lower fees.
