Monday 16th January 2012
|Text too small?|
NZX has completed the sale of its TZ1 carbon registry at US$21.4 million, confirming a final gain of NZ$33.7 million for the local stock exchange operator, some $19.9 million lower than originally announced in 2009.
UK-based financial information services firm Markit will buy back shares issued to TZ1 as part of the June 2009 deal when the stock exchange operator booked a NZ$53.6 million gain on the sale.
NZX later wrote down the value of the sale following slower-than-forecast growth in global carbon trading eroded the platform’s earnings potential. The final payment was expected to have been made in the third quarter of this year, but agreed no additional consideration was needed based on the registry’s 2011 performance.
“NZX has enjoyed an excellent working relationship with Markit since 2009, and the fact that final payment is to be made in front of what was expected reflects the strength of that relationship,” chief executive Mark Weldon said in a statement.
At the time of the sale, NZX said the value of the deal was subject to change by plus or minus US$17 million depending on the registry’s underlying performance. The stock exchange was to receive half of the profits in the registry for two-and-a-half years, with a potential earn-up if it beat targets. NZX shares slipped 0.4 percent to $2.55 in trading on Friday.
No comments yet
NZ dollar falls, NZX suspends trading after 6.2 magnitude Wellington earthquake
Cash trading on New Zealand stock exchange surges in first half, driven by equities
NZX cash trading tops $5 bln as MightyRiverPower listing beefs up market
NZX cash trading value jumps by 58 percent in February from a year earlier
NZX looks to launch spot gas market in June
NZX full-year profit falls 32 percent
NZX boss Bennett rounds out 2012 filings with $1.87M share acquisition
Equity trading jumps in NZX cash market as NZX 50 nears 5-year high
NZX names Amelia Wong as head of cash markets
NZX rings more changes as PR chief Macrae exits