CropEnergies buys UK’s Ensus plant for 5% of its build value

July 22, 2013 |

In the UK, Germany’s CropEnergies has bought Ensus Limited, based in Yarm, England. The company operates one of the largest production plants for bioethanol in Europe, in the northeast of England with an annual capacity of 400,000 cubic meters of bioethanol and 350,000 tonnes of dried protein animal feed (DDGS). In addition, carbon dioxide is delivered to an adjacent liquefaction plant which processes it for utilization in the food and drinks industry. The bioethanol plant was commissioned at the beginning of 2010 and employs approximately one hundred employees. CropEnergies will significantly improve the competitiveness of the company by investing more than GBP50 million.

The plant, mothballed in April, originally cost GBP250 million to build, leaving original investors in the lurch with the deal.

The acquisition of Ensus was completed on 19 July 2013 by a contribution in kind in return for the issuance of 2.25 million new CropEnergies shares. The issuing price per share is EUR 5.98 (ex dividend), corresponding to a total value of EUR 13.5 million or respectively a premium of 5 percent on the weighted average share price of the last 3 months. Ensus is being sold by funds affiliated to The Carlyle Group, one of the largest global alternative asset managers worldwide with assets under management of more than US$ 176 billion. Through the capital increase within the scope of the authorised capital, Carlyle will become a shareholder in CropEnergies, holding 2.6 percent of the stock. The companies do not disclose further details of the transaction.

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Category: International

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