Member Article

Alkane Energy complete third deal with Manchester investors

Investment bank Altium’s Manchester team have completed a trio of deals with Alkane Energy, one of the UK’s biggest CMM producers involved in methane gas fuelled power stations.

The latest deal is the third in as many years between Alkane and Nottingham-based Altium, and took the total value of Altium’s transactions past the £1bn mark.

Altium has a specialist team in energy, waste and renewables, who previously advised on Alkane’s acquisition of Greenpark Energy in 2013 and fundraising for their acquisition of Seven Star Natural Gas in 2011.

Since these deals with Altium, Alkane has managed to increase its value from £15m to £45m, while Altium has now advised on deals worth a total value of £1bn.

Other deals for the Manchester investment firm include the £650m joint venture between First Reserve Infrastructure, the global energy-focused private equity firm, and Renovalia Energy for its wind portfolio and the £14.25m sale of JWS Churngold to recycling company Viridor Waste Management.

Adrian Reed, managing director and UK head of energy, waste and renewables at Altium, said: “The latest acquisition consolidates Alkane’s market-leading position and significantly expands its CMM operating capacity.

“The additional working capital will be used to finance Alkane’s continued investment in core gas to power activities and support the businesses’ growth strategy.

“This deal is indicative of the buoyancy in the global power generation market. With the global economy facing the unprecedented challenge of combating climate change, pollution and a shortage of natural resources, the demand for energy is only going to increase, fuelling deal-flow in this sector.”

Altium’s energy team advises on oil and gas, waste, energy efficiency and generation, water, wind, solar PV and other alternative technologies, and has offices across Europe.

This was posted in Bdaily's Members' News section by Miranda Dobson .