China's investment firm Chongqing Casin Enterprise Group cleared off a key hurdle in its bid to takeover one of America's oldest stock exchanges, after an important US panel gave a green signal to the deal despite security concerns raised by several Congress members last month. 

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The 134-year-old Chicago Stock Exchange Inc (CHX) confirmed the news about the findings of the Committee on Foreign Investment in the United States (CFIUS) to Reuters news agency.

"We are pleased with the CFIUS findings that there are no unresolved national security concerns with respect to the proposed transaction," CHX told Reuters in a statement. 

The deal, however, still needs a clearance from the US Securities and Exchange Commission. If approved, this would be the first ever takeover of an American stock exchange by a Chinese firm.      

CFIUS has so far not issued any statement on the report.

American Lawmakers Oppose CHX's Takeover by Chinese Firm      

In February, nearly 46 American lawmakers wrote to CFIUS to stop the takeover of CHX by Chinese investment firm Chongqing Casin Enterprise Group.

American leader's apprehension about Chinese investment stems mainly from political tension in the Sino-US relationship. US politicians are especially critical about those deals where sensitive American technology is at stake.       

Last month, outgoing US President Barack Obama blocked the acquisition of Aixtron US by Chinese chipmaker Fujian over fear of security concern.      

Chicago Stock Exchange is a Niche Player in American capital market

The CHX is one of the oldest and least profitable stock exchanges in the US, accounting for merely 0.5 percent US equity market share. US' capital market is mainly dominated by NASDAQ and NYSE, where some of the biggest companies have been listed.  

CHX said that the takeover by Chongqing Casin will hopefully increase the listings of Chinese companies and increase the revenue of the exchange.

TagsChicago Stock Exchange, china, CHX, China CHX