Norwegian energy firm TrønderEnergi has become the largest shareholder in Scandinavian Biogas (SB), a major biogas producer in the Nordics.
As an industrial owner, TrønderEnergi will provide a long-term perspective and support the growth ambitions of SB. As part of the agreement, SB becomes approximately 97% owner of its Norwegian subsidiary Biokraft Holding.
TrønderEnergi, owned by 24 municipalities in Norway, utility firm NEAS and Norwegian pension fund KLP, has since early 2016 been a minority shareholder of Biokfraft, a subsidiary of Scandinavian Biogas.
Through the transaction, TrønderEnergi will own approximately 37.1 million shares in SB, equivalent to 18% of all outstanding shares. Along with BTAB Invest and AC Cleantech Fund, TrønderEnergi becomes the largest shareholder in SB.
Ståle Gjersvold, CEO of TrønderEnergi, said: “This is a great and logical next step for TrønderEnergi, executing the green energy investments and growth plan. The Swedish market for biogas has major potential, and it makes industrial sense for us to invest in Scandinavian Biogas as a leading biogas company in Scandinavia.
“Our ambition is to address the expected growth in the biogas market through the ownership in Scandinavian Biogas, as we see this as an important industrial development for a carbon-neutral transport sector and a circular economy.”
“Even though the biogas market has experienced a material development and growth in the last 10 years, we are still at the beginning of the truly industrial biogas market development in Scandinavia,” commented Scandinavian Biogas CEO, Matti Vikkula.
“Sweden and Norway have ambitious climate targets for the transport sector, and biogas provides one of the best and most efficient ways to reduce the carbon footprint of the sector.
“With TrønderEnergi as a major shareholder and active owner, SB will be strongly supported to take the next step in its development.”