Pressure Technologies sells biogas division for €12.3 million
UK-based specialist engineering group Pressure Technologies announced that it has entered into a binding letter of intent (LOI) with Canada-listed Creation Capital to sell PT Biogas Holdings, the holding company for its bioenergy subsidiary Greenlane Biogas, for €12.3 million.
“The global outlook for renewable natural gas (RNG) has improved again throughout the year with governments and energy majors increasing their commitment to renewables in the global energy mix, with RNG playing a significant role, particularly in the US and Europe,” said Chris Walters, chief executive of Pressure Technologies.
“In June 2018, due to its significant potential, we announced that strategic options would be valuated for our AE Division that would increase market opportunities and help unlock shareholder value. Our strategic option review also considered refocusing the Group on core specialist manufacturing activities in the defence and oil and gas markets.
“As a result of this strategic review and following the appraisal of outright sale and merger options, we have commenced a process to spin out Greenlane and list it on the TSX Venture Exchange, which will be accomplished by selling it to Creation Capital. We will remain a supportive minority shareholder and anticipate retaining our holding for the medium term.”