NYSE Euronext, APX form joint venture NYSE Blue-UPDATE 1

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Thursday September 09, 2010 06:42:13 AM GMT

* NYSE Blue to develop global environmental markets

* Current APX CEO Brian Storms to head NYSE Blue

(Adds detail, recasts lede)

By Nina Chestney

LONDON, Sept 7 (Reuters) - NYSE Euronext and environmental markets infrastructure provider APX Inc. will create a joint venture, NYSE Blue, to develop global environmental markets, the companies said on Tuesday.

The value of the new venture was not disclosed.

"NYSE Blue will be the only exchange to offer a full range of environmental market services in a vertically integrated end-to-end platform," the companies said in a statement.

Financial market operator NYSE Euronext said it will contribute its 60 percent shareholding in French emissions exchange BlueNext and be the majority owner of NYSE Blue.

Shareholders in APX Inc., including Goldman Sachs, MissionPoint Capital Partners and ONSET Ventures will take a minority stake in NYSE Blue in return for their shares in APX.

NYSE Euronext shares in Paris rose 0.54 percent to 23.15 euros at 1308 GMT.

NYSE Blue will offer services such as integrated pre-trade and post-trade platforms, environmental registry services, markets reference data and the BlueNext spot emissions platform.

It will focus on all environmental commodities but will also seek potential demand from energy efficiency, water and biodiversity products, the companies said.

NYSE Blue will expand globally with its focus on North America and Asia.

The companies expect the transaction to close by the end of this year, subject to shareholder and regulatory approval.

Brian Storms, current chairman and chief executive of APX, will then become the chief executive of NYSE Blue.

"Market participants and regulators the world over are demanding purpose-built infrastructure, innovative solutions and transparency to facilitate the formation of these emerging markets," Storms said in a statement.

"NYSE Euronext and APX are well suited to lead this market going forward."

Privately-owned APX Inc. provides infrastructure for environmental commodities and energy markets. More than 1,300 firms use APX registry technology to track, issue and manage environmental commodities in North America and other countries.

It has a strong presence in the U.S. renewable energy certificate market and the global voluntary carbon market.

NYSE EuroNext has a 60 percent stake in Paris-based BlueNext, while French state-owned bank Caisse des Depots holds the remaining 40 percent.

BlueNext is the main marketplace for spot trading in European Union carbon permits under the bloc's $100 billion emissions trading scheme. (Reporting by Nina Chestney; editing by Anthony Barker)

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