By Alaric Nightingale

(Bloomberg) — The Baltic Exchange Ltd., a London-based writer of transport charges that form the price of hauling the whole lot from iron ore to grease, stated it entered unique talks with Singapore Exchange Ltd. following an “attractive proposal” from the Asian bourse.

The London-based group, presently owned principally by shipbrokers who assist decide its every day charges, will retain its present ethos as a membership group, in line with the assertion. Along with SGX, because the Singaporean bourse is thought, the Baltic Exchange will meet with members and trade individuals within the coming weeks.

“The proposed transaction would further strengthen the links between London and Singapore, two of the world’s leading maritime business hubs,” Guy Campbell, chairman of the Baltic Exchange, stated within the assertion.

The Baltic Exchange, which might hold its head workplace in London underneath the proposed accord, has constructed a platform to permit merchants of freight derivatives to purchase and promote the contracts. SGX would proceed to permit different organizations to clear such offers and freeze its personal prices for doing so for 5 years, in line with the assertion.

While the Baltic Exchange is well-known amongst commodity and oil merchants for its position in publishing freight prices, it’s tiny in contrast with different exchanges. It had income of 6 million kilos ($8.8 million) within the 12 months to March 31, 2015, in line with its web site. Singapore Exchange’s gross sales had been about S$779 million final 12 months ($595 million), knowledge compiled by Bloomberg present.

–With help from Ramsey Al-Rikabi and Will Hadfield.

© 2016 Bloomberg L.P