The new venue will launch in October 2009 and represents a new direction for Bayerische Börse. To date Bayerische Börse has successfully operated as an equity market, offering the ability to trade more than 11,000 securities from over 60 countries.

Under the agreement, Bayerische Börse will use Trayport's Exchange Trading System platform to provide technology for a pan-European Carbon Emissions Exchange, a new trading venue for instruments including European Union Allowances and Certified Emission Reduction Units, with clearing and settlement provided by Deutsche Bank.

"Having a flexible trading platform that allows us to grow as we need is an essential requirement. It is one that we know Trayport's Exchange Trading System will provide. This will allow us to expand our offering into new asset classes, while supporting our existing clients, and remove any constraints found in our current system," said Christine Bortenlänger, board member of Bayerische Börse. "It is also a real advantage for us to be able to access Trayport's Trading Gateway community of energy traders."

Adrienne Quinn, Head of Trayport Exchange Systems, said, "We are delighted to announce this new relationship with Bayerische Börse. This contract reflects the inherent flexibility of Trayport's Exchange Trading System which will allow Bayerische Börse to develop its business in this exciting market landscape."