Alternative fuel company Velocys said it had closed out a joint venture with plant owner Envia Energy. Velocys was a minority equity stakeholder of, and the senior secured lender, to Envia Energy. It had agreed with Envia to transfer rights of the site to another joint venture partner for $4.15m.
As part of the agreements, Envia would sell certain parts of the site infrastructure and remove the remaining equipment from the site. Velocys also released its liens on all equipment from the site in return for a significant recovery under its collateralised loan note to Envia. A total of $2.2m had already been received by Velocys and an additional $2.0m would be paid upon the completion of several performance milestones related to the removal of equipment.
By Shares Magazine