Deutsche Boerse

Now that Paris's Euronext looks set to merge with the New York Stock Exchange, the biggest challenge for Reto Francioni, the new Deutsche Börse CEO, is to make sure Frankfurt stays relevant in the race to consolidate stock markets. At least he has the means to remain a key player. His predecessor, the abrasive Werner Seifert, who resigned last year amid a dispute with hedge fund shareholders, did turn the operator of the Frankfurt Stock Exchange into an extraordinary cash cow. The company, which also controls the Eurex derivatives exchange and Clearstream clearing operation, reported profits of $207 million in the first quarter, an increase of almost 50% compared with a year earlier.Thanks to Seifert, Deutsche Börse was a pioneer in electronic trading; today the Frankfurt exchange is an eerily quiet place, filled with traders staring at computer screens rather than shouting bids. But, despite many attempts, Seifert was never able to pull off a merger with another big European bourse such as the London Stock Exchange. Now, it's up to Francioni.