The London Stock Exchange, which is subject to speculation that it could be a takeover target after failing to merge with Canada's TMX Group, posted a 14% rise in first-quarter income from a year earlier and said it expects the market for initial public offerings to be quieter in the summer before strengthening later this year.

In a trading update ahead of its annual meeting with shareholders, the LSE, which also operates Italy's Borsa Italiana, said total income in the three months to June 30 rose to £190.2m from £167.3m in the same period a year earlier.