Friday, May 16, 2008

US Presidential Election & Carbon Markets: Is The Climate Exchange Story Overdone? (CLE.L)

AltEnergyStocks comes slamming home with the post I was going to do, but better, backwards and in heels:

An interesting piece yesterday in POLITICO on how carbon prices on the Chicago Climate Exchange (CCX) have been trending up in recent months, mostly since it's become clear that all three remaining presidential hopefuls will likely regulate CO2 emissions at the federal level....

...A safer play would therefore be to buy the exchange because ANY contract can be traded on it, so revenue would spike with volumes. It appears as though the marketplace has picked up on that one as well, pushing up the price of Climate Exchange (CXCHF.PK), the CCX' parent company, by upwards of 90% in the last three months....

...But is this a reasonable bet? A few months ago, NYMEX, a much bigger rival, announced the creation of The Green Exchange to directly compete in the environmental commodities space....Go HERE for the whole thing.

There are some big players in CLE, from last year:

70% of the stock is closely held. Of the balance, here are the top ten holders:

Shares In Issue / Top 10 Holders

Shares in Issue - 44,856,810

Percentage of shares not in public hands - 70.88% (This figure includes shareholders of 10%+ and Directors' interests)

Top 10 Shareholders

as at 1 May 2008

Invesco Perpetual 31.20%
Harbinger Capital Partners 24.22%
Dr Richard Sandor 20.43%
BlackRock Investment Management 8.50%
HSBC James Capel as principal 2.90%
NatWest Private Banking 2.60%
RBC Europe collateral account 2.37%
Individuals holding 100,000 or more shares 2.03%
Moore Capital Management 1.41%
Fidelity Investments 1.36%

The stock has doubled since January.