CHICAGO, Sept. 29, 2011 /PRNewswire/ — CBOE Stock Exchange (CBSX) announced today that it has entered into a definitive agreement to acquire the National Stock Exchange, Inc. (NSX), an all-electronic stock exchange which is owned primarily by several nationally-known broker-dealers. The acquisition will allow CBSX to expand its footprint in the securities exchange space by wholly owning and operating a second exchange.

Plans call for CBSX to operate NSX as a separate exchange, while consolidating data systems and business operations.

The NSX acquisition, which has been approved by CBSX and NSX boards of directors, is subject to Securities and Exchange Commission (SEC) approval and is expected to be finalized in the fall of 2011.

“The acquisition of NSX is an important milestone, marking a new phase of growth at CBSX,” CBSX CEO David Harris said. “Economies of scale should enable us to efficiently operate a second exchange and to grow our customer base by providing additional pricing models to the U.S. equities marketplace.”

“With the changing landscape of the securities marketplace and after careful consideration, NSX felt it was in the best interests of its customers to pursue an acquisition by a market structure innovator such as CBSX,” said Joseph S. Rizzello, NSX CEO. “We are confident that the acquisition by CBSX will be a seamless transition and will enable NSX to continue to showcase its strong infrastructure without any interruption to the outstanding service and technology expected by NSX’s customer base.”

“As the creator and the largest owner of CBSX, CBOE supports CBSX’s effort to acquire another exchange ‘medallion’ in this highly competitive securities arena,” CBOE Chairman and CEO William J. Brodsky said. “In the last few months, CBSX has completed some major initiatives, including this key acquisition, to expand its growth potential.”

In July, CBSX relocated its trading operations to the East Coast from Chicago and began trading from the Equinix NY4 IBX datacenter in Secaucus, NJ. The move was aimed at increasing execution speed for the majority of CBSX’s customers, which are located on the East Coast.

About CBOE Stock Exchange

The all-electronic CBOE Stock Exchange, LLC (CBSX), created in 2007 by the Chicago Board Options Exchange (CBOE) and four market-maker partners, offers trading in more than 7,600 equities and exchange traded funds (ETFs) listed on U.S. securities markets. CBSX, which operates as a facility of CBOE, uses CBOE’s technology platform, CBOEdirect. CBOE is the largest owner of CBSX (www.cbsx.com), with remaining ownership shared by nine broker-dealers.

CBOE, a wholly-owned subsidiary of CBOE Holdings, Inc. (NASDAQ: CBOE), the largest U.S. options exchange and creator of listed options, continues to set the bar for options trading through product innovation, trading technology and investor education. CBOE offers equity, index and ETF options, including proprietary products, such as options on the S&P 500 Index (SPX) and on the CBOE Volatility Index (VIX).

About the National Stock Exchange

The National Stock Exchange (NSX), headquartered in Jersey City, NJ, offers trading in all US exchange-listed equities on its NSX BLADE trading platform. Originally founded as the Cincinnati Stock Exchange (CSX), NSX became the first all-electronic exchange in the U.S. in 1980. The NSX and its wholly-owned routing broker-dealer are regulated by the SEC and FINRA.

Forward-Looking Statements

Certain information contained in this news release may constitute forward-looking statements, such as projected efficiencies following the contemplated acquisition. We wish to caution readers not to place undue reliance on any forward-looking statements, which speak only as of the date made.

CBOE-SX

CBOE, Chicago Board Options Exchange, CBSX, CBOE Stock Exchange, CBOEdirect, CBOE Volatility Index and VIX are registered trademarks, and, SPX is a service mark of Chicago Board Options Exchange, Incorporated (CBOE). Standard & Poor’s, S&P and S&P 500 are registered trademarks of Standard & Poor’s Financial Services, LLC, and have been licensed for use by CBOE. NSX and NSX BLADE are registered trademarks of National Stock Exchange, Inc. All other trademarks and service marks are the property of their respective owners.

SOURCE CBOE Stock Exchange (CBSX)