Bursa Malaysia has denied it is in merger talks with the US-based Nasdaq Stock Market or other exchanges after seeing a recent rise in its share price.

The Nasdaq, dominated by US technology listings, said this week it had bought 14.99 percent of the London Stock Exchange. There has also been speculation it might have an Asian bourse in its sights.

Bursa Malaysia, which has seen its share price increase 35.1 percent from RM4.70 ringgit on March 17 to RM6.35 on April 13, rejected the possibility of a deal.

"Bursa Malaysia would like to clarify that in light of a recent media article on consolidation of exchanges, it is not in discussion with Nasdaq or any other exchange on any merger and acquisition proposal," it said in a statement late yesterday.

Improved investor sentiment

It attributed the performance of its shares to "improved investor sentiment", including a government decision in March to reintroduce regulated short-selling and securities borrowing and lending.

The bourse said trading activity in the market had improved significantly since the announcement, noting that retail investor participation had increased.

Bursa Malaysia was lower this morning as investors locked in profits after its merger talks denial, dealers said.

The stock was down RM0.10 at 6.25 on volume of 588,500 shares.