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agri.capital Case Study

About agri.capital

  • agri.capital is the leading biogas and biomethane company in Europe
  • agri.capital is headquartered in Luxembourg, with operations throughout Germany and Italy
  • agri.capital has significant expansion opportunities in Germany as well as Italy, in addition to longer-term expansion opportunities throughout Europe
  • agri.capital’s investors, prior to the Alinda transaction, included Green Partners, EIG Global Energy Partners (formerly TCW Energy), Halcyon Structured Opportunities Investors, Altima Global Special Situations, Gottex Fund Management and certain of its affiliates, Ecofin Limited, RiverRock European Capital Partners, and Morgan Stanley Clean Development

Overview and Challenges

  • Founded in 2004, agri.capital had scaled into Europe’s largest biogas producer by 2011. As agri.capital approached its next phase of growth, current ownership explored gaining long term financing and liquidity via either an IPO or a sale of the company
  • We worked with agri.capital on analyzing various exit opportunities and weighing the benefits of each alternative
  • Part of our value comes from a deep understanding of our client’s needs which allows us to better help them achieve their goal. By structuring a sale to Alinda, we were able to provide liquidity to shareholders while positioning agri.capital for future growth with the right strategic partner

Our Advice and Execution

  • We advised agri.capital in its sale to Alinda. Alinda brings infrastructure execution knowledge and experience during agri.capital’s critical growth stage
  • We educated Alinda as to agri.capital’s track record of superior execution, contracted cash flows of each plant and deep pipeline of both acquisitions and greenfield opportunities
  • We negotiated a transaction structure to meet the complex needs of both parties

Enhanced Success

  • On April 5, 2011, agri.capital was successfully sold to New York-based Alinda Capital Partners, who invested over €300 million in agri.capital Group S.A.
  • Alinda provided an exit to shareholders at attractive returns, while drastically reducing agri.capital’s cost of capital
  • In addition to the initial investment, Alinda has committed to provide additional growth equity to agri.capital to fund biogas and biomethane project development