Macquarie Capital Principal Finance completes first biogas investment
London, 18 Nov 2019
Macquarie Capital Principal Finance (Macquarie) has today announced the completion of the majority acquisition of BioCow, a leading producer and innovator in the UK biogas industry. BioCow uses anaerobic digestion to create energy from agricultural waste, by producing biomethane which can be used to heat homes and businesses and as a green transport fuel.
BioCow will use the investment from Macquarie to expand its existing operations in Cambridgeshire, as well as to support the completion of the UK’s first biomethane injection point into the national transmission grid. This gas connection is a part of a pilot project with National Grid that aims to develop innovative solutions to reduce the time and cost of connecting to the high-pressure national transmission grid.
Macquarie’s investment comes amid growing demand for green gas, providing institutional capital to a sector known for its operational and supply chain complexity. Biogas will play an important role in the UK’s future energy mix, helping to lower the carbon impact of domestic heating and agricultural processes, as well as to improve the UK’s energy security. Macquarie will use its renewable energy and infrastructure expertise to help BioCow seize this opportunity and provide capital as a catalyst to the growth of the business.
Patrick Ottersbach, a Managing Director at Macquarie Capital Principal Finance said: “We have followed the development of anaerobic digestion in Europe for several years, looking for the right operating partner to scale this carbon neutral energy technology. We are excited to work with BioCow to develop its platform and contribute to the UK’s energy transition.”
Derek Bourgoyne, Co-Founder and Director of BioCow commented: “We started BioCow to produce biomethane on farms in an environmentally and economically sustainable manner. In Macquarie, we have found a financially strong partner with world-leading expertise in renewable energy and infrastructure. We are excited to partner together to develop anaerobic digestion into a mainstream gas source in the UK and meet growing demand for carbon neutral gas for heating and transport.”
Macquarie is the largest infrastructure investor in the world, and a leading global renewables developer. In 2018-19, Macquarie invested or arranged more than £4 billion in green energy projects and, as of 31 March 2019, had 13.5 GW of renewable energy assets in operation or under management. In the UK, Macquarie has invested and arranged more than £40 billion in infrastructure projects since 2005 and began its operations over 30 years ago.
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About Macquarie Group
Macquarie Group Limited (Macquarie) is a diversified financial group providing clients with asset management and finance, banking, advisory and risk and capital solutions across debt, equity and commodities. Founded in 1969, Macquarie employs 15,704 people in 31 markets. At 30 September 2019, Macquarie had assets under management of £309.2 billion. For further information, visit www.macquarie.com.
About Macquarie Capital Principal Finance
Macquarie Capital is the advisory, capital markets and principal investment arm of Macquarie Group. Macquarie Principal Finance, the principal investment business, provides flexible primary financing and secondary market investing solutions for corporate and commercial real estate clients across North America, Europe and Australasia. Since 2009 Macquarie’s Principal Finance team has provided financing and investment capital on a flexible and bespoke basis for over 500 companies, deploying over £22 billion globally.
Recognising that every client is different, Macquarie Principal Finance expertise goes beyond traditional financing to adapt solutions to meet individual client needs. For further information visit www.macquarie.com/us/corporate/financing/principal-finance.