At their annual meeting in Amsterdam today, Euronext shareholders have overwhelmingly voted against a merger with Deutsche Borse.

The vote is seen as sending a clear message to the New York Stock Exchange that it is in pole position to secure the tie-up it seeks.

In a snub for hedge fund investors, who have been calling for a merger with the German exchange, nearly 44 million shares were cast against a proposal tabled by Winchfield Holdings. This represents 54 pc of the votes cast by investors.

Times Business (London) notes: “The vote, which is non-binding, followed a tense morning during which it appeared initially that an offer tabled by Deutsche Börse was worth €8.6 billion (£5.6bn) — higher than yesterday’s confirmed €8 billion proposal put forward by the NYSE. Euronext executives were quick to rebut this idea, arguing that the Borse’s cash and shares proposal — based on the three-month weighted average of Euronext’s share price — was worth only €6.5 billion.”

Euronext management claimed the vote as a victory, having already stated that its preferred merger partner is the NYSE. It has, however, not yet formally signalled its acceptance of the U.S. bid.

Serge Harry, Euronext’s finance director, denied it had received a better offer from Deutsche Borse: “This is the same offer we received over the weekend and which was fully considered by the board yesterday. The figures presented by Deutsche Brse are based on the closing price of yesterday, which is misleading because the proposal is based on the three-month volume weighted moving average prior to the signing of the business combination agreement.”

The Times also revealed that the London Stock Exchange has pulled out of three-way merger talks with Euronext and the NYSE, apparently because of the complications and costs involved.

The New York Stock Exchange has formally announced a $10.2 billion (£5.42 bn) cash and shares offer for Euronext today in its effort to create the first transatlantic stock market.

The Times (London) reports: “Analysts immediately predicted a new offer would come from the German operator Deutsche Börse which had indicated broad terms of a merger on Friday but without detailing a price. Euronext rejected the proposals. Under the terms of the American bid, The NYSE Group will convert its existing shares in a new company, NYSE Euronext, and then offer 0.98 of these plus €21.32 cash for each Euronext share.”

We understand that the Dubai International Financial Centre, which has been linked with an offer for Euronext, raised its stake yesterday from 1.67pc to 3.48 per cent.

Executives and specialists of the New York Stock Exchange and Euronext are meeting this weekend to hammer out an all-shares merger between the two companies.

The pan-Continental exchange and the NYSE are set to create the first transatlantic exchange with a value of around $20 billion (£10.64).

Final details will be put to the Euronext board on Monday, ahead of its annual meeting on Tuesday. The plan involves shares of the new super-exchange trading in both New York and Paris.

There are still obstacles around in the shape of a coalition of hedge funds pushing for a deal with Deutsche Borse. Euronext’s chief is set against the merger proposed by the German exchange this week, however.

On the New York side, Thomas Caldwell, a major shareholder in the NYSE, has spoken out against a merger with Euronext.

It’s all to play for in what looks like becoming a defining week in the consolidation of the world’s stock markets. The LSE will have a lot to ponder if it’s to stay out of the clutches of the predatory Nasdaq.

Time for tea at the Ritz, Clara?

In another bold move, Nasdaq swooped like a bird of prey last night on yet more shares in the hapless London Stock Exchange. Its holding now rises to 25.1pc.

The purchase gives Robert Greifeld an effective veto over the future ownership of the ancient London exchange and its other corporate moves. Moreover, the Americans can lift their shareholding to 29.9pc before declaring a full bid.

The one fly in the ointment for both tussling exchanges is that Nasdaq is literally drowning in debt and was recently downgraded to junk status by Standard & Poor’s. Its shares in LSE will not generate much income which may rule out a long game here.

Astonishingly, Clara Furse has not yet met Robert Greifeld during the current situation, and must see her career as an exchange Chief Exec draining away before her eyes.