LSE Latest reports that The New York Stock Exchange has signed a $20 billion (£10.7 billion) merger agreement with Euronext, the conglomerate of European exchanges, in an historic deal to create the world’s biggest stock exchange.

The combined business will become the world’s first transatlantic exchange: NYSE Euronext, at a ceremony in Paris this afternoon, chosen to demonstrate that it’s a merger of equals, not a takeover.

However, Thomas Caldwell, whose company owns 4.3 million NYSE shares, told The Times (London) that “the international nature of the deal might fall foul of politicians worried by foreign takeovers of key US businesses”.

John Thain, NYSE chief executive, will become CEO of the proposed combine, the headquarters of which will be on Wall Street. Jan Michel Hessels, Euronext’s supervisory board chairman, will be the new chairman.

A Euronext spokesman said: “The balance of the executives will be maintained.” A Euronext director could take over the CEO role when Thain retires, he implied.

NYSE and Euronext shareholders must still vote on the merger.