Palisade Real Assets is pleased to announce several significant transactions supporting the continued growth of its UK-focused bioenergy fund, BioticNRG.
Palisade Real Assets has signed an initial capital commitment from European asset manager APG Asset Management (acting on behalf of its pension fund client ABP) to BioticNRG.
The significant mandate bolsters BioticNRG’s ability to build value, create a highly sustainable bioenergy platform and deploy its decarbonisation credentials across hard to access sectors such as transport, waste, energy and agriculture.
Concurrently, Palisade Real Assets is also pleased to announce that on 1st June 2024 it signed the parallel acquisitions of AD Aggregator Platform Limited and Material Change Limited.
The acquisitions build on the establishment of BioticNRG over the past two years and expands its existing footprint in the organics and bioenergy sector in the UK.
About AD Aggregator Platform Limited (ADAP)
ADAP is a bioenergy platform located in the east of the UK and consists of six operating anaerobic digestion (AD) plants and a composting business. The AD assets have strong operating track records and include four gas-to-grid AD plants and two combined heat and power (CHP) plants.
About Material Change Limited (MCL)
MCL is a UK-based AD and composting operator and developer with certified sustainability and ESG credentials. MCL has been operating since 2003 and currently manage five of the ADAP AD plants and the ADAP composting business. The MCL acquisition brings to the BioticNRG platform a wealth of in-house operational capability across the bioenergy supply chain, which will help Palisade Real Assets build, grow and run AD assets and adjacent infrastructure, while also meeting the highest of sustainable investment standards.
Stephen Burns, CEO of Palisade Real Assets, said “We are thrilled to have closed the APG mandate and signed these milestone transactions which bring together infrastructure asset ownership and strong operational capability within the same organisation.”
“The MCL team, led by CEO Ed Bastow, are industry veterans with exceptional experience in development, operation and supply chain management. Their expertise is key to delivering the growth ambitions for the ADAP assets and the BioticNRG platform, which play an important role in renewable energy generation in the UK.”
APG’s Senior Portfolio Manager Infrastructure, Iulia Grosu said, “Investing in biogas and biomethane offers a promising solution to mitigate climate change, reduce waste, and provide renewable energy solutions while contributing to carbon negative practices. We have been working with the Palisade Real Assets team to establish BioticNRG and ensure it fits ABP’s commitment to the energy transition, while securing attractive returns for its participants. Their subsequent acquisition of ADAP and MCL brings the expertise and commitment which will underpin our long-term vision for sustainability. We look forward to the further growth of the BioticNRG platform.”
Ed Bastow, CEO of Material Change said, “We are looking forward to joining BioticNRG and delivering the PRA vision for BioticNRG and APG. We have exciting times ahead with a pipeline of opportunities and the support of our new partners which will allow us to innovate and optimise for long term growth.”
BioticNRG was advised by Stifel Nicolaus Europe Limited (financial advisory), White & Case (legal), A&M (tax and financial) and Marsh (insurance).
ABP
ABP is een BPFv met eind Q4 2023 een belegd vermogen van € 500.385 miljoen waarvan 0% herverzekerd en 0% voor risico deelnemer.
Het fonds heeft een deelnemersbestand met in 2023 1.269.305 actieve bijdragers en 1.023.210 pensioengerechtigden. De beleggingen voor risico pensioenfonds hadden in Q4 2023 een rendement van 9%.
Eind Q4 2023 had het fonds een beleidsdekkingsgraad van 113.9% terwijl de vereiste dekkingsgraad op dat moment 126.3% bedroeg. De fiduciair manager van het fonds is APG en de pensioenadministratie wordt uitgevoerd door APG.
