GPRE to Purchase Abengoa #Ethanol Plants

Joanna Schroeder

logo_footerGreen Plains Inc. (GPRE) has announced the successful bid for three of the U.S. ethanol plants for sale by Abengoa Bioenergy as part of the Spanish-based company’s bankruptcy. The company will purchase the Madison, Ill., Mount Vernon, Ind. and York, Neb. ethanol facilities, with combined annual production capacity of 236 million gallons per year, for approximately $237 million in cash, plus certain working capital adjustments.

“We continue to focus on making strategic investments in high quality assets as we expand our production footprint,” said Todd Becker, president and chief executive officer at Green Plains. “The Madison and Mount Vernon plants will give us access to the Mississippi River, supporting our new export terminal planned in Beaumont, Texas. In addition, we will broaden our product offering globally with industrial alcohol production at the York plant. These acquisitions further our commitment to deliver long-term value for both Green Plains Inc. and Green Plains Partners shareholders.

Upon completion of the acquisitions, Green Plains will own and operate 17 dry mill ethanol facilities with combined production capacity of nearly 1.5 billion gallons per year.

The sale of all Abengoa assets are subject to review and approval by the U.S. Bankruptcy Court with a court hearing scheduled for August 29, 2016. Green Plains expects the acquisitions to be complete by the end of September 2016.

biofuels, Ethanol