Terra Firma reaps £234m in Infinis IPO

Greg Gille
15 November 2013

Tweet
Facebook
LinkedIn
Google plus
Send to

Terra Firma portfolio company Infinis Energy has listed on the London Stock Exchange in an IPO valuing the business at ТЃ780m.

Shares were offered at £2.60 each, the bottom of the indicative £2.60-3.10 offer range.

The company offered around 30% of its shares in the flotation, allowing Terra Firma to receive gross proceeds of £234m. The GP still holds onto 69% of the business post-IPO.

Previous funding
Infinis was created when Terra Firma split portfolio company Waste Recycling Group (WRG) into two subsidiaries: waste disposal and renewable energy. Terra Firma bought WRG in 2003 for €836m and followed this investment with the €357m acquisition of the UK landfill business of landfill operator Shanks in the same year.

Terra Firma then merged the two businesses and sold off the waste disposal division for €1.4bn to Fomento de Construcciones y Contratas in 2006. The GP retained the renewable energy division, renaming it Infinis, and brought in a new management team, specifically a new CEO, CFO, commercial director and head of wind development.

In February this year, Infinis announced an offering of £350m in senior notes, due to mature in 2019 and with a 7% coupon. The proceeds from the offering were used to repay the company's outstanding £275m in senior notes, which were due to mature in 2014 and had an interest rate of 9.125%.

Company
Infinis operates 147 power plants comprising 121 landfill gas sites, 16 onshore windfarms and 10 hydro sites. According to the company, it holds a 40% share of the UK market for generators of electricity from landfill gas.

Infinis is headquartered in Northampton and employs 375 staff. The company recorded turnover of £225.9m for the year ending March 2013, as well as an EBITDA of £125.4m.

People
Eric Machiels is the chairman and CEO of Infinis.