LONDON (Alliance News) - Camco Clean Energy PLC on Tuesday said it has struck a conditional agreement to sell its biogas assets in the US for up to USD5.6 million to Clean Power Holdings LLC.
Clean Power, a Delaware-based biogas company, will acquire Camco's stakes in the AG Power Jerome LLC and AG Power DCD LLC businesses. Jerome owns the Jerome biogas facility, while DCD owns Camco's unit in Twin Falls.
The total consideration will be USD18.9 million, less the USD14.3 million in debt Clean Power will acquire. The initial consideration going to Camco, therefore, will be USD4.6 million, with a further USD1.0 million to be paid based on the performance of the assets.
Camco is selling the assets as it focuses its energies on the RedT energy storage system business. In reflection of the strategic shift, the group has proposed changing its name to RedT Energy PLC.
Shares in Camco were up 2.8% to 6.55 pence on Tuesday.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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