The London Stock Exchange Group and Deutsche Börse are targeting €450 million in annual cost savings from their merger, which would create the largest exchange group in Europe and a formidable competitor to US rivals.

The cost synergies identified by the exchange groups will amount to €450 million a year from the third year after the deal's completion, according to the two companies, which said the amount was roughly 20% of their combined adjusted operating costs for 2015 of some €2.2 billion.