Nasdaq ( NDAQ) isn't exactly taking London by storm. Shares of Nasdaq slumped Thursday afternoon after the big U.S. stock market disclosed the paltry results of its
blustery tender offer for the London Stock Exchange. Nasdaq also extended its $5.3 billion bid, which London has pledged to oppose, by two weeks. Nasdaq announced its unsolicited bid for the British exchange almost two months ago. But on Thursday, as a deadline was set to expire, Nasdaq admitted that its tender offer had garnered less than 1% of the LSE's stock. Part of the problem is that London shareholders seem to expect a better offer to materialize from somewhere. Nasdaq is offering 1,243 pence per share, but LSE shares recently fetched 1,307. As a result, only 1.3 million shares were tendered into Nasdaq's deal by deadline time -- raising Nasdaq's LSE stake only to 29.4%, from 28.8%. Nasdaq will need to control more than half of LSE shares if its bid is to succeed. Under British takeover rules, if Nasdaq does not garner at least a majority of LSE shares by the next deadline on Jan. 26, the exchange can extend one final time to Feb. 10. After that, Nasdaq will have to wait a year to make another bid for the London bourse. Nasdaq stock was down 52 cents, to $34.76.