Agripower Prepares a Joint Venture with a Budget of 20 to 35 Million Euros for Biomethane
On Thursday, Agripower announced the signing of a term-sheet for the establishment of a joint venture aimed at accelerating the conversion of existing methanization sites to the production of injected biomethane. This partnership is part of the group's transformation into a developer-investor in the renewable energy market.
A Joint Venture to Accelerate Site Conversion
Agripower is partnering with an investment fund and a company specializing in the development of renewable energy projects to create a joint venture dedicated to acquiring stakes in existing methanization sites (Brownfield). The joint venture would be 51% owned by Eliona, a wholly-owned subsidiary of Agripower that groups the company's stakes in its methanization assets, while the investment fund would hold 44% and the partner company 5%. Guillaume Labarrière, President of Agripower, emphasizes that this project confirms 'our Group's entry into a phase of operational scaling' and the relevance of the strategic positioning on 'projects with higher added value'.
An Investment of 20 to 35 Million Euros Over 24 Months
The term-sheet provides for an investment budget ranging from 20 to 35 million euros designated for the financing of identified projects. This budget includes an equity contribution of 1 million euros and additional financing in the form of partner advances and/or convertible bonds. The drawdown period is set at 24 months, with the possibility of extension. The definitive signing of the partnership remains subject to the finalization of legal documentation and the fulfillment of a number of suspensive conditions.
