Lignetics acquires wood pellet plant in Maine
Lignetics, the largest residential wood pellet manufacturing company in the US which now has a production capacity of approximately 550,000 tonnes a year of wood pellets, has acquired the assets of GF Funding (whose facility was formerly known as Geneva Wood Fuels), expanding its footprint into Maine and upper New England.
Lignetics has wood pellet manufacturing plants on both the East and West Coasts in six plant locations in the states of Maine, Oregon, Idaho, West Virginia and Virginia.
Ken Tucker, CEO of Lignetics says: 'Completing this acquisition is in line with our strategy to continue to expand our geographic footprint in the US and remain the market leader in the residential wood pellet industry. Geneva has great customers which we look forward to continuing to support.'
Financing for the transaction was provided by Taglich Private Equity, management and Gladstone Capital, who provided subordinated debt and equity financing, along with Texas Capital Bank, who provided senior debt in support of the transaction.
The newly acquired facility manufactures hardwood pellet fuel for residential and commercial use. It produces Maine's Choice and Geneva Wood Pellets brands of residential hardwood pellet fuel.