ORIX Corporation USA Makes Equity Investment in Wisconsin Renewable Natural Gas Project

Rhea-AI Summary

ORIX USA has completed an equity investment in the BC Organics Anaerobic Digestion Facility (BCO) in Wisconsin, a significant project aimed at converting dairy manure into renewable natural gas (RNG) and other valuable by-products. BCO is designed to process over 360 million gallons of manure annually, significantly contributing to environmental sustainability by reducing methane emissions and cleaning local water sources. This investment aligns with ORIX's broader strategy of expanding its footprint in the renewable energy sector.

Positive

• Investment in BC Organics enhances ORIX's renewable energy portfolio.
• BCO is expected to process over 360 million gallons of manure per year.
• Reduction of 650,000 MMBtu of methane emissions annually contributes to environmental sustainability.

Negative

• None.

ORIX Corporation USA (ORIX USA) announced today the completion of an equity investment in BC Organics Anaerobic Digestion Facility (BCO), a commercial biorefinery that processes dairy manure into renewable natural gas (RNG), a concentrated nutrient stream, dried fiber and clean water. BCO, located in Brown County, Wisconsin, is owned by Dynamic Expansion LLC and was developed by Dynamic Concepts, LLC, a leading developer and operator of biofuel projects in the United States. Once fully operational, BCO will be one of the largest dairy manure to RNG projects in the United States, and is expected to process more than 360 million gallons of manure per year.

BCO’s facility will produce usable RNG while helping reduce phosphorous and nitrates that may impact local water sources, and improve air quality by reducing greenhouse gas emissions. The facility will serve multiple local dairy producers and is expected to remove 650,000 MMBtu of methane from the environment every year.

"ORIX is active in renewable energy globally with a track record of strategic investments in solar, wind and biofuel projects. With this transaction, we are now leveraging the expertise of our global renewables platform and increasing investment in the biofuel sector in this region as well,” said Neil Winward, Head of Strategic Solutions at ORIX USA. “Biofuel projects are a great fit with our middle market focus and provide a range of opportunities to participate as a tax-equity, cash equity and mezzanine investor.”

This transaction follows ORIX Corporation’s investment in global renewable energy company Elawan Energy S.L. (subject to regulatory approvals), as well as a previous acquisition of a stake in India-based renewable energy company Greenko Energy Holdings. ORIX Corporation is committed to being a global renewable energy operator and to contributing to sustainability through its business activities.

ORIX USA was assisted by GoldenSet Asset Management, LLC, an affiliate of GoldenSet Capital Partners, LLC. Terms of the transaction were not disclosed.

About ORIX USA:

Since 1981, ORIX USA has provided innovative capital solutions that clients need to propel their business to the next level. With a focus on merchant banking, commercial finance, and asset management, ORIX USA and its subsidiaries include a team of more than 1,300 employees spanning more than 50 offices across the U.S. and Brazil. ORIX USA and its family of companies have $87 billion of assets under management, administration, and servicing (including $10 billion held by the Company and its subsidiaries), as of December 2020. Its parent company, ORIX Corporation, is a publicly owned international financial services company with operations in 37 countries and regions worldwide. ORIX Corporation is listed on the Tokyo Stock Exchange (8591) and New York Stock Exchange (IX). For more information, visit orix.com.

About GoldenSet Capital Partners:

GoldenSet Capital is focused on providing project equity and structured capital to companies and projects in the sustainable infrastructure sector. Together the GoldenSet team has developed, constructed, and financed more than 50 distributed solar and wind projects, with additional experience investing in cogeneration, biomass generation, renewable fuels, waste derived fuels and energy storage. For more information, visit http://www.goldensetcapital.com.

About Dynamic:

Dynamic was founded in 2011 and is a full-service company that provides leading edge waste recovery solutions for both the Agricultural and Food Processing Industries. Three of its founding owners are involved with the daily operations of the business. They are the driving force of the company by integrating Dynamic's technology and design into the following areas: landfill diversion, anaerobic digestion, nutrient concentration, and water treatment. Dynamic adds a unique value in the field by being experienced, and knowledgeable in the finance, design, development, operation, and management of customized world-class infrastructure assets. These turnkey renewable energy and clean water solutions dispose of organic waste to impact the economy in environmentally friendly ways.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210511005275/en/

FAQ

What is ORIX's recent investment project related to?

ORIX has invested in the BC Organics Anaerobic Digestion Facility in Wisconsin, focusing on converting dairy manure into renewable natural gas.

How much manure will the BC Organics facility process annually?

The BC Organics facility is expected to process over 360 million gallons of dairy manure each year.

What environmental benefits does the BC Organics facility provide?

The facility helps reduce methane emissions by removing 650,000 MMBtu from the environment annually and improves local water quality.

What is ORIX's strategy in the renewable energy sector?

ORIX aims to expand its investments in renewable energy, particularly in biofuels and sustainable infrastructure.