Operational, Growing, Scalable, and EBITDA Positive
Investment Summary: Sponsor developed a proprietary advanced thermochemical recycling technology that can produce sustainable methanol from low-cost solid waste feedstock. Its first commercial plant became operational in 2010. Since that time, the focus have been on development, expansion, and securing feedstock and offtake contracts. The operational focus is in the EU and UK, but technology licensing in the US is also a priority.
As the owner of the technology, sponsor has multiple methods for realizing earnings. In addition to owning the plants outright, it will also seek opportunities to jointly own plants with targeted industrial partners. As the core technology and equipment supplier in co-developed projects, sponsor will earn cash from projects during the design and construction phases. Sponsor will also seek licensing partners outside of the EU, particularly in the US. Through these activities, sponsor will participate in a market that is expected to grow from $50 billion today to over $300 billion in 2050. Sponsor anticipates a €2 billion enterprise value by 2030.
The company’s goal is to become the leading waste-to-products technology supplier in Europe with an annual capacity to convert 1 million tons of waste into 500,000 tons of bio-methanol within 5 to 7 years.
Investment Sought: €12 million in Series A equity investment in the parent company.
Projected Returns: Projected IRRs in excess of 20%.
Use of Capital: expansion of production facilities, construction of a commercial scale facility, and increase engineering staff.
Project Highlights:
Operational.
Feedstock and offtake contracts in place.
Positive EBITDA projected in 2024.
Access to global distribution infrastructure.
Ready market: renewable methanol is the most viable alternative fuel for maritime de-
carbonization.
Waste is a low-cost feedstock. Production costs lower than alternative production methods
such as carbon capture, bio-methanol, and E-methanol processes resulting in significant
operating margins.
Investment can contribute to an investor’s climate related commitments.
Leadership: Senior leadership has several decades of experience in manufacturing in the chemical and plastics industry in addition to experience in energy in technology orgainzations.
