CLS/Echo/Multinet Join Forces To Develop Integrated FX Netting & Settlement Service

DEALING & NETTING

CLS Services, the Exchange Clearing House (Echo) and Multinet International Bank have announced plans to merge into a single entity. Officials from the three organizations say the merger will provide banks with an integrated service for reducing settlement risks inherent in foreign exchange transactions.

A spokesperson for London-based Echo says CLS Services will acquire the shares of both Echo and Multinet. All three organizations are currently owned by bank consortiums (see box, end of this