NYSE Euronext plans to launch NYSE Blue, a joint venture that will focus exclusively on environmental and sustainable energy markets.
NYSE Blue will include NYSE Euronext’s existing investment in BlueNext, a spot market in carbon credits, and APX, a provider of regulatory infrastructure and services for the environmental and sustainable energy markets.
NYSE Euronext will be a majority owner of NYSE Blue and will consolidate its results.
Shareholders of APX, which include Goldman Sachs, MissionPoint Capital Partners, and Onset Ventures, will take a minority stake in NYSE Blue in return for their shares in APX.
Subject to customary closing conditions, including APX shareholder approval and regulatory approvals, the APX transaction is expected to close by the end of 2010.
NYSE Blue will provide a broad offering of services and solutions including integrated pre-trade and post-trade platforms, environmental registry services, a front-end solution for accessing the markets and managing environmental portfolios, environmental markets reference data, and the BlueNext trading platform.
NYSE Blue will expand globally with a focus on North America and Asia .
Upon closing of the transaction, Brian Storms, chairman and chief executive of APX, will become chief executive of NYSE Blue.
“Our listed companies and markets customers increasingly need innovative tools and trading instruments to manage new types of business risks including those around energy, carbon, renewable energy, water and other environmental factors,” says Duncan L. Niederauer, chief executive officer, NYSE Euronext. “The formation of NYSE Blue and addition of APX will build upon BlueNext’s business and strengthen NYSE Euronext’s position in environmental markets on a global scale by expanding our portfolio of services and attracting new partners and customers.”
“The combination of an environmental commodities infrastructure provider and a global exchange offers a unique entry point into these rapidly developing markets,” adds Storms. “Market oarticipants and regulators the world over are demanding purpose-built infrastructure, innovative solutions and transparency to facilitate the formation of these emerging markets. NYSE Euronext and APX are well suited to lead this market going forward.”
APX, founded in 1996, provides front-end trading solutions specifically for environmental and power markets and post-trade infrastructure for the transfer and settlement of renewable energy and carbon credits.
