is carbon trading the next big thing?, page-3

yep...just been reading up on it.

So there is a good discrepancy here...good little arbitrage to be made.

Should be trading around 0.9 based on this difference.


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Carbon Planet, m2m to create $117m firm
Adelaidenow - ý15 hours agoý
CARBON Planet will merge with Melbourne-based telecommunications investor, m2m Corporation, in a deal expected to create a $117 million, stock market-listed ...

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Submit comment VALERINA CHANGARATHIL
July 20, 2009 11:30pm
..CARBON Planet will merge with Melbourne-based telecommunications investor, m2m Corporation, in a deal expected to create a $117 million, stock market-listed carbon trading company.

The SA-based carbon management services company said the deal would make it a close to 60 per cent shareholder in technology investment company m2m, through the issue of 464 million m2m shares.

The merger was expected to go through by the end of the year.

Carbon Planet chief executive Jim Johnson said yesterday the merged entity would have a market cap of $117 million, with most value attributable to Carbon Planet.

"The value represents the money that Carbon Planet has received in investment funds from shareholders in the past 12-18 months,'' Mr Johnson said.

In a complicated scrip and capital-raising deal, m2m will consolidate its shares by 20 to 1, valuing each share at 12c based on yesterday's closing price of 0.6c.

After the consolidation, m2m expects to raise $10 million from investors at 20c each - 8c more than the current consolidated trading price. m2m's market capitalisation at close of trade yesterday was $7.9 million.

Carbon Planet said yesterday it expected to make a profit this financial year.

Its financial statement to the end of June 2008 - submitted to the Australian Securities and Investments Commission - showed the company had incurred accumulated losses of about $6 million with current liabilities exceeding assets by $20,020.

In a presentation to m2m shareholders, Carbon Planet said it had 25 Reducing Emissions from Deforestation and Degradation (REDD) projects in Papua New Guinea expected to generate $1 billion annually, with another eight REDD MOUs in Indonesia.

``These are firm contracts on paper,'' Mr Johnson said. The company said it had only two projects in PNG less than a month ago.

m2m, incorporating Carbon Planet, will be the first Australian-listed entity providing full services in carbon trading activities, the companies said yesterday.

http://www.news.com.au/adelaidenow/story/0,22606,25815817-5003680,00.html


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m2m to acquire Carbon Planet for emissions trading
by James Riley
Monday, 20 July 2009

Australian Stock Exchange-listed digital media and telecommunications firm m2m Corporation is stepping out of its technology niche, announcing plans to acquire Carbon Planet, a local leader in the emerging carbon credits trading sector.


As part of its merger proposal, m2m will issue about 464 million shares to Carbon Credit investors, and raise about $10 million in working capital at 20 cents per share.

Carbon Planet, an unlisted public company, is a provider software and services for greenhouse gas emmissions assessment and carbon management , as well as scientific analysis and consulting services that ‘create’ carbon credits from valid projects, principally in developing economies.

The company provides scientific certification to rainforest owners enabling them to be awarded with tradeable carbon credits. Carbon Planet then sells the credits on owners behalf, enabling the locals of the rainforest to receive an ongoing revenue stream – thus protecting the forest from exploitation.

This new trading mechanism is called the Reducing Emissions from Deforestation and Degradation (REDD) and have been used as credits by governments and enterprises to offset their own emissions.

Last year, m2m says about US$126 million worth of these voluntary credits were traded – a opportunity the company says will jump to US$14.2 billion by 2020 depending on carbon credit price movements.

Both companies have said m2m’s buiness partners in north Asia – especially China – would assist Carbon Planet in developing further projects in the region.

Carbon Planet has already secured a series of exclusive contracts to develop REDD projects in Asia region. The methodology and verification processes for the first projects are at an advanced stage.

http://www.itwire.com/content/view/26391/53/


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m2m to invest in emissions tradingJuly 20, 2009 .
m2m Corporation Ltd plans to broaden its investments beyond telecommunications into emissions trading through a proposed merger with carbon credits provider Carbon Planet Ltd.

Shares in m2m, a telecommunications and investments company, were up 0.2 cents, or 50 per cent, at 0.6 cents at 1449 AEST.

Under a proposed scheme of arrangement, m2m plans to issue about 464 million of its shares to investors in Carbon Planet, an unlisted public company, and raise $10 million at 20 cents per share for working capital purposes.

m2m executive chairman Ian Clarkson said the company had conducted a lengthy evaluation of potential investment targets and determined Carbon Planet was the best opportunity.

"m2m has for some period of time been looking for larger investments and we've evaluated a few of those. This is the one that we feel, after all that work, has the greatest potential," Mr Clarkson told AAP.

Carbon Planet provides software and methodologies for companies seeking to measure and manage their carbon emissions.

It also provides scientific and certification services that allow carbon credits to be awarded to rainforest owners under a market mechanism called Reducing Emissions from Deforestation and Degradation (REDD).

Carbon Planet then sells these carbon credits on behalf of the rainforest owners, providing them with an annual income stream.

"This trade is expected to increase to $US14.2 billion ($A17.69 billion) by 2020," m2m said in a statement on Monday.

It also said m2m's north Asian partners would assist Carbon Planet to develop its business in the region, especially China.

Mr Clarkson said participation in the REDD scheme was voluntary but "the Australian government has announced that it wants them complying from 2016 onwards".

The first $10 million realised from m2m's existing technology investments during the three years following completion of the merger would remain with m2m shareholders under the arrangement, m2m said in the statement.

m2m has investments in telecommunications and high-end video-card processing.

http://news.smh.com.au/breaking-news-business/m2m-to-invest-in-emissions-trading-20090720-dqip.html