US Eco Ventures to acquire 75% stake in German Energiepark Suptitz

Jul 24, 2012 - US biofuel and minerals recovery company Eco Ventures Group Inc (EVGI) today said it had signed a definitive contract to acquire a 75% stake in German alternative energy feedstock producer Energiepark Suptitz (EPS).

EVGI will acquire the stake in exchange for restricted shares equaling 30% of its stock and cash payment of some USD 8.3 million (EUR 6.9m). Closing of the transaction is slated for the third quarter.

Under the agreement, EVGI has the option to acquire the remaining 25% shares of EPS at a price that will be equal to 25% of the net value of the combined companies.

For 2011 EPS generated unaudited revenue of USD 30 million, marking an average annual growth rate of some 42% from 2008 to 2011, and expects its revenue to continue rising in 2012. The company produced some 7,200 tonnes (2.1 million gallons) of rapeseed oil in 2011, and intends to more than triple its production capacity to some 25,000 tonnes in 2012, according to EVGI.

EVGI added that it planned to build a biofuel production facility at EPS in 2013 to take advantage of its rapeseed oil capacity expansion and tap the rising demand for biofuels in Europe.

(USD 1 = EUR 0.826)

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