Maquarie Asset Management’s GIG acquires specialist biogas platform from BayWa r.e. AG and looks to grow business across Germany, Italy and rest of Europe.
Macquarie Asset Management’s Green Investment Group (GIG), via its Macquarie GIG Energy Transition Solutions fund, has acquired BayWa r.e. Bioenergy GmBH from BayWa r.e. AG, it has announced.
Biogas business development
BayWa r.e. Bioenergy is a specialist biogas platform and is active across the full asset lifecycle, a statement from Macquarie Asset Management said. The business develops, constructs, and operates biogas projects which provide biomethane and power to local energy companies, industrial companies and energy traders, it added.
Its portfolio comprises of five operational plants in Germany and a pipeline of development projects located across Italy. The business’ current operational assets produce a total of approximately 140 GWh of biomethane annually, helping avoid 13.16 ktCO2e of GHG emissions every year.
"There are significant tailwinds in the European biomethane sector driven by the circular economy benefits of treating agricultural waste together with the need to decarbonise sectors which are hard to electrify. As a locally produced, direct alternative to fossil fuel-based natural gas, biomethane is an attractive solution for corporate and industrial customers looking to decarbonise,” said Chris Archer, Co-Head of GIG Europe. “With its track record and deep technical expertise, BayWa r.e. Bioenergy is already a leader in this rapidly growing sector, and we are excited to work with the business’s current partners to support the platform’s continued growth.”
Positive tailwinds for sustainable energy technology
The investment comes as the European Union looks to rapidly reduce its dependency on imported natural gas. REPowerEU targets the production of 35bn cubic metres (roughly 350 TWh) of biomethane by 2030, the statement explained.
Meeting this demand is expected to require the construction of 5,000 new biomethane plants across the EU and €80bn in capital investment. GIG intends to use these positive tailwinds to explore opportunities to grow the business’ presence in Germany, Italy, and other existing and emerging growth markets in Europe.
It will also seek to use the latest technology processes to enhance the platform – which could include the introduction of carbon capture and CO2 liquefaction that can be used for food-grade quality CO2.
“GIG has played a leading role in driving the net zero transition and is well placed to take BayWa r.e. Bioenergy GmbH and its employees forward and to realise their growth potential. BayWa r.e. AG will focus on its core business of electricity generation from wind and solar energy,” concluded Matthias Taft, CEO of BayWa r.e. AG.
