Agrivert £96 Million Recapitalisation

Agrivert, the UK market leading owner-operator of Anaerobic Digestion (AD) and composting technology, has completed a £96 million recapitalisation for which Augusta & Co, acting as sole financial advisor, placed:

  • £63 million 17 year, fixed rate infrastructure loan to GCP Infrastructure Investments Limited, a London listed infrastructure debt fund, having approached over 80 bank and non-bank debt investors.
  • Advised on and arranged a concurrent £33 million change-of-control equity investment in a competitive M&A process, having approached over 50 domestic and international equity investors.

The new debt financing has trended out Agrivert’s debt maturities at lower cost, better matching the company’s longer dated contracted energy generating assets with a long-term financing. The recapitalisation provided a full exit for Alcuin Capital Partners, who have been invested since 2009, as well as providing the construction funding for two new 40,000 tonne per annum, 3.0MWe AD plants.

Alexander Maddan, Chief Executive of Agrivert commented:

“Robin and his team at Augusta worked tirelessly for over a year. They brought real creativity, intelligence and energy to get this transaction done in a difficult environment of negative news flow and retreating renewable subsidies. They achieved the leverage and the valuation that allowed us to raise highly competitive construction funding, strengthen our financing structure and provide an attractive exit for our private equity partner. AD is still a new technology for much of the financial markets but Augusta successfully translated and explained our technology’s commercial and environmental benefits.”

Robin Menzel led the transaction for Augusta, supported by both Joanna Hubbard & Alexandra Rawe.