Proceeds from Tranche 1 Financing of $20 million and a concurrent $250 million (project development equity financing) facility to be allocated to direct investments into Andion’s pipeline of projects will rapidly accelerate development of Andion’s operations in North America and Europe
VANCOUVER, CANADA – ANDION Global Inc.(“Andion”), a global leader in delivering proven and comprehensive waste-to-energy solutions, announced today the company has secured a $20 Million multi-partner financing from three investment partners: a private fund managed by Spring Lane Capital, a private equity firm focused on providing catalytic project capital for sustainability solutions in the energy, food, water, waste and transportation industries; Equitix Infrastructure Investments Limited (“Equitix”); and Business Development Bank of Canada (“BDC”). This new capital will be used initially to expand Andion’s operations and to acquire equity stakes in existing projects, and to accelerate the development of Andion’s projects located in North America, Italy and the Nordics.
The $250 million project development equity facility will be allocated concurrently by Spring Lane Capital and Equitix, and used to finance the development, construction and acquisition of projects in Andion’s North American and European markets.
“We are very excited to have closed the first tranche of this financing with a distinguished group of strategic investors which will allow us to rapidly propel the development, deployment and operation of our own waste-to-energy facilities,” said Phillip Abrary, CEO of Andion. “The proven proprietary technologies used in Andion’s anaerobic digestion plants have the additional benefit of countering climate change by transforming waste into a renewable fuel.”
“Renewable natural gas (RNG) solutions are increasingly playing a key role in helping corporations and municipalities meet their carbon targets. We are excited to partner with Andion as this long-term secular trend presents a tremendous opportunity for institutional investors in the global sustainable finance markets,” said Nathaniel Lowbeer-Lewis, Vice President, Canada for Spring Lane Capital. “We have witnessed first-hand more and more interest from investors in waste diversion solutions and we are very impressed with Andion’s pedigree in the RNG space. With over 20 years of experience, their team brings deep technical competency that is unmatched in the sector, and we expect our collaboration to serve as a platform to foster additional organics and RNG investment opportunities.”
“We are very pleased to partner with Andion as an investor, as well as entering into a framework agreement to invest in future projects developed by the Andion Group in Europe,” said Hugh Crossley, CEO of Equitix. “This investment is fully in line with Equitix’s core strategy of making long-term investments into infrastructure with positive environmental characteristics. Our goal is to support Andion’s continuing development and focus on strengthening the company’s position as a responsible supplier of renewable energy to the market.”
“As the bank for Canadian entrepreneurs, we are pleased to support Andion’s innovative solutions and projects to divert waste from landfills to create value, which is an important part of our energy transition needs and will help Canada reach its climate targets,” said Vivian Kan, Director of BDC Capital’s Cleantech Practice.
Andion’s technology makes organic waste handling and conversion to biogas efficient, sustainable and economically viable. The company has successfully delivered more than 50 complete anaerobic digestion facilities as well as over 130 complex wastewater treatment plants throughout North America and Europe. This new capital provided by Spring Lane Capital, Equitix and BDC will allow the company to expand operations and acquire equity stakes in these projects.
Andion’s waste-to-energy facilities provide environmental and socio-economic benefits for cities facing waste challenges in North America and Europe. Current methods for managing organic waste include: sending waste to landfills; waste-to-energy recovery through incineration; composting; and anaerobic digestion. Sending waste to landfills contributes to the production of methane while managing waste through anaerobic digestion is carbon-negative. Anaerobic digestion reduces greenhouse gas emissions, eliminates odours, does not require a large footprint, and as well, supports the circular economy as the waste is recycled into biogas, compost and fertilizer.
Andion’s facilities have the ability to process hundreds of thousands of tons of a variety of organic waste, reducing greenhouse gases from transportation, landfills and burning of waste. This process creates renewable energy (biogas), a sustainable source of fuel for communities around the world.
Desjardins Capital Markets acted as exclusive financial advisor to Andion in this Tranche 1 Financing of $20 million and an additional project equity facility of $250 million.
ABOUT ANDION GLOBAL
Andion Global Inc. specializes in the development, deployment and operation of renewable energy facilities. The company is based in Vancouver B.C., with operations in Milan and Stockholm. Andion has a portfolio of technologies and proven processes for converting complex and variable organic wastes to renewable energy, having successfully delivered more than 50 complete anaerobic digestion facilities as well as over 130 complex wastewater treatment plants. With more than two decades of expertise and a portfolio of patents pertaining to the processing of organic waste, Andion’s integrated solutions cover every aspect of the waste-to-energy and wastewater treatment value chain.
ABOUT SPRING LANE CAPITAL
Spring Lane Capital is a private equity firm based in Boston, MA and Montreal, QC focused on providing catalytic project capital for sustainability solutions in the energy, food, water, waste and transportation industries. The firm’s structured financial model seeks to tap into some of the fastest growing segments of these markets, that more traditional forms of project capital cannot access due to their scale and the limitations of existing investment models.
ABOUT EQUITIX INFRASTRUCTURE INVESTMENTS LTD.
Equitix is an established, international investor, developer and fund manager of core infrastructure assets focused on building long-term partnerships to support, develop and invest in a range of large-sale infrastructure projects, while delivering first class service and value. Launched in 2007, Equitix now operates from 16 global locations, with over 300 dedicated professional staff, collectively managing c. £8bn AUM, operating across Social infrastructure, Transport, Renewable Power, Technology, Media, Telecommunications (TMT), Network Utilities and Environmental Services. Equitix has developed its reputation as a successful, principled developer and manager, acting as custodian of the core infrastructure assets that provide essential services to communities.
ABOUT BDC CAPITAL
BDC Capital is the investment arm of BDC, the bank for Canadian entrepreneurs. BDC Capital serves as a strategic partner to the country’s most innovative firms. It offers businesses a full spectrum of capital, from seed investments to growth equity, supporting Canadian entrepreneurs who have the ambition to stand out on the world stage.
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