A large shareholder in Canadian derivatives exchange the Montréal Exchange has backed its proposed takeover by the Toronto Stock Exchange ahead of a crucial shareholder meeting later today to decide on the proposed C$1.14bn (€781m) tie-up.

Caisse de depot et placement de Québec, Canada’s largest pension fund that owns about 8% of Montréal Exchange stock, said today it would vote in favour of the transaction, adding: “This project offers advantages for all the parties.”