EQTEC plc and EQTEC Iberia combine on waste gasification-to-energy projects
EQTEC, a technology solution company for waste gasification-to-energy projects, has entered into a non-binding heads of terms agreement with Inava Ingenieria de Analisis SL and its majority shareholder, EBIOSS Energy SE, to ‘spin off’ their subsidiary, EQTEC Iberia, and combine it with EQTEC.
In order to generate additional capital for the newly enlarged group and fund the immediate pipeline of projects, EQTEC have appointed VSA as lead broker and financial adviser for a fundraising initiative.
According to a statement, the directors of EQTEC believe that the combining of EQTEC plc and EQTEC Iberia would create a leading company for proprietary advanced gasification technology used in industrial sized power plants to convert waste into synthetic gas to generate electricity. The directors hope that the expanded business will combine expertise, forming an experienced management team with knowledge of energy markets, waste supply and fuel sources, project development engineering and clean technologies.
On 10 January 2017, the Company stated “in order to avail of the opportunities presenting themselves, particularly in the energy from waste market in the UK, a strategic partnership with a larger group such as EBIOSS Energy with its own proprietary technology is the best path forward. The Board believes that the existing collaboration between the parties and the existing cooperation in relation to project pipeline in the UK, means that it makes strategic sense to have EBIOSS Energy as the majority shareholder in REACT (now EQTEC PLC), both financially and operationally”. The Directors maintain that this is still the position and the recent announcement is the logical next step in the process commenced earlier in the year.
Gerry Madden, Chief Executive Officer of EQTEC plc said: “We are delighted to be taking this important step in the next stage of development of the business. It is a logical step to take after partnering with EBIOSS at the start of the year. A lack of domestic incineration and gasification capacity is forcing the UK to pay European incinerators to take our waste. Now, by using our best-in-class technology we have an opportunity, once the transaction is concluded, to redirect this waste to our pipeline of UK projects, thereby becoming a leading player in creating electricity by converting waste into synthetic gas.
“We now look to the future with the goal of realising the significant value that has been identified from combining with EQTEC Iberia.”