Werner selfert likes to dream of the day that Deutsche Borse, the financial-exchange company of which he is chief executive, becomes truly pan-European, complete with a non-German name. That day looks further off than ever. On March 5th Mr Seifert was forced by a shareholder rebellion to withdraw the informal EUD1.35 billion ($2.6 billion) offer he made in December for the London Stock Exchange (LSE). The revolt was led by hedge funds that wanted Deutsche Borse to use its stockpile of cash to pay dividends instead. This is a big blow for Mr Seifert. He has been plotting a takeover of the LSE for several years: a previous attempt, in 2000, foundered on opposition, much of it nationalistic, from the LSE'S shareholders. The failure of his second bid is not his only recent slip. Talks last summer with swx Group, operator of the Swiss stock exchange, yielded no merger. And the venture into America a year ago by Eurex, the derivatives exchange that Deutsche Borse owns with the Swiss, has not wrested much business from the incumbent Chicago Board of Trade (CBOT). Mr Seifert is not easily put off: he has already hinted at another go at the LSE, although it would probably have to be financed by debt. But his future at Deutsche Borse seems in question, as does that of Rolf Breuer, the chairman of its supervisory board.
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