According to two people, Bats Global Markets Inc. and Direct Edge Holdings LLC had been in merger discussions. A merger would combine two of the largest stock exchanges owners in the US, said people who have direct information regarding the talks.

Discussions had been in progress but might end up to nothing, said sources who asked not to be named as the matter was held private in nature. The merger talks came after futures market Intercontinental Exchange Inc. prepared to complete its acquisition of NYSE Euronext.

Kansas-based Bats and Direct Edge in New Jersey would create the second biggest exchange operator given the merger would push through. This would put it behind the combined NYSE-ICE. Bats was established in 2005 by Dave Cummings of Tradebot Systems Inc. Along with Direct Edge, the two companies dismantled the duo monopoly enjoyed by New York Stock Exchange and Nasdaq Stock Market at that time.

Direct Edge spokesman for Direct Edge refused to give comments regarding the report. Suzanne O'Halloran at Bats also declined to give statements.