FRANKFURT / NEW YORK (Reuters) - Deutsche Boerse Will take over NYSE Euronext to create The World&&9;s Largest exchange operator in a Deal That Dodges Key Issues That Could Threaten icts completion yet.

Though dressed up as a merger, the deal, Which gains NYSE at about $ 10.2 trillion, IS Effectively a takeover, With 60 Percent Of The New Company To Be owned by The German company&&9;s Shareholders and 10 of 17 board seats Bound for the Frankfurt group&&9;s management .

Goal while no name has yet Been Given To The combined group, The Two Parties Have Reached one important risk. The Willis Group Have Both headquarters in New York and Frankfurt.

And in a bid to keep U.S. worriedLawmakers Happy, The chief executive role to Will Go NYSE head Duncan Niederauer, while Reto Francioni of Deutsche Boerse chairman Will Become.

The combined powerhouse Will Have more than $ 20 trillion in trading volume and Annual operations in Germany, France, Britain, Amsterdam, Portugal, Belgium, and the United States.

Under the terms of the deal NYSE Euronext stock Will Be Exchanged for 0.47 shares in the New company, while Deutsche Boerse shares were swapped Will Be One-for-One Basis, the Exchange Said in a statement on Tuesday.

At a 60-40 ownership split, the 55 percent of Shareholders in a combined company Would Be From The United States, With 11 percent from Germany, 11 percent from the UK and 23 percent From The Rest of the World, a source familiar With The Deal said.

The Exchange face intense competition in Their traditional stock-trading business from Geared Toward Younger trading venues today&&9;s increasingly dominant high-speed electronic traders.

NYSE and others Have Responded by Investing Heavily in Technology and Moving into more profitable derivatives trading.

Together, Deutsche Boerse&&9;s Eurex and NYSE Euronext unit&&9;s London-based Liffe unit Would Dominate European exchange-based futures trading, With More Than 90 Percent Overall, raising antitrust issues Among Market Regulators.

CONSOLIDATION WAVE

A Few Years After hiatus That included The Financial Crisis and The Beginning of a Global Regulatory revamp, The World&&9;s exchange operators are Back in the takeover game.

Singapore Exchange&&9;s bid for Australia late last year ASX.And last week, the London Stock Exchange Said It Would buy Toronto Stock Exchange operator TMX Group, just hours before Deutsche Boerse and NYSE Euronext Said They Were in advanced talks low fee payday loans.

Local Concerns over the wave of consolidation sweeping Surfaced The Industry in Asia on Tuesday as Singapore Exchange tweaked icts $ 7.9 one billion bid for ASX to allow more Australian directors combined onto a board in year Attempt to Win over skeptical Australian Politicians.

Nationalism has long Been One Of The Biggest hurdles to exchange mergers.The marketplaces are symbols of national pride Often and important to Attracting business and capital.

Regulators are closed Paying attention to the deal, and Exchange users aussi Have Raised red flags for fear the takeovers Will limit competition.

Euronext and Deutsche Boerse are "still screwing us on fees for clearing, tea auctions closing and small and mid-cap trading - the Areas Where They Have Still virtual Monopolies," Said The head of European Markets at a large bank, Who Declined to Be named. "A merger IS Regarding Together Because They Will Be More Powerful and Better Placed to Protect thesis monopolies."

The LSE has Already Deal With TMX Run Into Foreign Ownership Concerns in Canada.

Goal despite rumblings about Middle Eastern ownership in Ontario, LSE shareholder Borse Dubai, Which Is owned by The Ruler of the Gulf Arab emirate, has not Been Asked to trim 20 percent stake icts has Familiar With The matter source said.

Singapore Exchange&&9;s willingness to give-ground and award An Equal number of board seats to Australians and Singaporeans In The combined entity shows how local Sensibilities are Being Overcome The Pressure to Consolidate as rises. The value of SGX&&9;s offer has not changed Been Under The New Proposals.

"All the resistance ... has-been political. The steps taken today" should address Some of Those Political Issues, "Said Mark Nathan, portfolio manager at Arnhem Investments.

(Additional reporting by Philipp Halstrick, Ed Taylor, Paritosh Bansal, Adrian Bathgate, Saeed Azhar, Luke Jeffs and Narayanan Somasundaram; Writing by Alexander Smith, Editing by Chris Wickham and Jane Merriman)

Deutsche Boerse NYSE unveils mega-exchange deal