WFW advises Bio Capital on acquisition of Redstow anaerobic digestion plant19 January 2021

Watson Farley & Williams (“WFW”) has advised Bio Capital 2 Ltd (“Bio Capital”) on its acquisition of Redstow Renewables Ltd (“Redstow”), an anaerobic digestion (AD) plant, from Downing LLP, and on the negotiation of new post-acquisition management arrangements for Redstow with Future Biogas.

Operational since 2015 and located in Norfolk, England, Redstow has a total capacity of 4.5 MW Combined Heat and Power (CHP). It currently processes circa 75,000 tonnes of energy crop p.a. to produce biogas used to generate and sell renewable electricity under the Feed in Tariff regime and renewable heat under the Renewable Heat Incentive scheme. Redstow provides 95% of the electricity used by local RAF station RAF Marham, home to the RAF’s Tornado Force and the first British military base to run almost entirely on green electricity.

Bio Capital is a platform for investments in the UK AD sector and was co-founded as a joint venture between energy and infrastructure investment funds Helios and Equitix in 2018. Its portfolio includes gas to grid and electricity generation plants that utilise food waste and agricultural fuel sources. WFW has advised Bio Capital since its inception, including its establishment and corporate finance arrangements.

The multidisciplinary WFW London team that advised Bio Capital was led by Corporate Partner Mark Tooke assisted by Corporate Associates Alice Everley and Sebastian Lello. The Corporate team worked closely with Projects Partners Daisy East and Emmanuel Ninos, and Planning and Regulatory Partner Nick Walker. Senior Associate John Rosmini and Associate Cole Tennant-Fry advised on real estate matters while Partner Richard Stephens, Senior Associate David Jacob and Trainee Lottie Lymer handled tax aspects. Projects Associates Jonathan Forrest and Aimee Myhre assisted on energy and finance matters respectively.

Mark commented: “It was a pleasure to have advised Bio Capital on the acquisition of this major asset in the UK AD sector, especially as we have worked with them since their foundation. Our team was able to draw on our extensive experience within this specialist industry to anticipate and avoid or mitigate risk and transaction issues”.

Ron Rappaport, director of Bio Capital added: “We are grateful to Mark and his team at WFW for their expert advice on this key strategic acquisition for Bio Capital as we continue to look for new and exciting ways to expand our AD electricity generation portfolio”.