Green Biologics Inc., a wholly owned U.S. subsidiary of Green Biologics Limited (GBL), a UK-based industrial biotechnology and renewable chemicals company, announced the closing of its acquisition of the assets of Central MN Ethanol Co-op (CMEC). Ocean Park Advisors (OPA) acted as exclusive financial advisor to CMEC on the sale transaction.
The assets include a 21 million gallon per year ethanol plant in Little Falls, Minn. GBL plans to repurpose the plant to produce renewable normal butanol (n-butanol) and acetone, but will continue to operate the plant as an ethanol plant until construction and repurposing are completed. Current management and employees will continue with Central MN Renewables, LLC, the U.S. affiliate that acquired the assets.
The plant is scheduled to commence renewable n-butanol and acetone production in 2016.
“We are extremely pleased with the successful closing and look forward to the leadership role that Green Biologics will play in bringing renewable chemicals to commercial reality,” said CMEC CEO Dana Persson. “The OPA team did an outstanding job on all facets of this transaction including expanding the list of bidders to include renewable chemical companies such as GBL.”
Since 2012, OPA has worked with CMEC's board of directors and company management to assess its strategic alternatives, including acting as financial advisor to CMEC on the sale of its minority stakes in Guardian Energy, KAAPA Ethanol and Bushmills Ethanol.
Mark Fisler, Ocean Park managing director, commented, "This pioneering deal demonstrates that it is possible to retrofit and reposition a first generation ethanol plant as a renewable chemical plant.”