Following the completion of the transaction, Carlyle is expected to gain 2.6% stake in CropEnergies.
The company is set to invest nearly £50m to enhance the competitiveness of the UK producer and increase its own production capacity by 50% to more than 1.2 million cubic meters.
Through Ensus, CropEnergies expects to access EU’s third largest bioethanol market British, the company said in a statement.
Ensus owns one of the largest European bioethanol facilities that has an annual production capacity of 400,000 cubic meters along with 350,000 tons of dried protein animal feed (DDGS).
CropEnergies, meanwhile, is intending to invest €27m for a processing plant for neutral alcohol in Zeitz, Germany until 2015, continuing its expansion.
The German producer has four modern production facilities in Germany, Belgium, the UK, and France with combined production capacities of 1.2 million cubic meters of bioethanol per year.
