A fund managed by Macquarie’s Green Investment Group (GIG) is buying a bioenergy business from BayWa re.

The Macquarie GIG Energy Transition Solutions fund has acquired BayWa re Bioenergy GmbH, a biogas platform with a portfolio comprising five operational plants in Germany and a pipeline of development projects located across Italy.

BayWa re Bioenergy is active across the full asset lifecycle. The business develops, constructs and operates biogas projects which provide biomethane and power to local energy companies, industrial companies and energy traders.

Its current operational assets produce a total of approximately 140GWh of biomethane annually.

Chris Archer, co-head of GIG Europe, said: “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. With its track record and deep technical expertise, BayWa re 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.”

Matthias Taft, CEO of BayWa re AG, said: “GIG has played a leading role in driving the net-zero transition and is well placed to take BayWa re Bioenergy GmbH and its employees forward and to realise their growth potential.

“BayWa re AG will focus on its core business of electricity generation from wind and solar energy.”

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