JLEN Environmental Assets (LSE:JLEN) Group, the environmental infrastructure fund, has acquired the 30% Bio Collectors Holdings it doesn't own for £8 million.
BCH operates an anaerobic digestion (AD) plant, commissioned in December 2013, which produces biomethane for the national gas grid and also runs the Bio Collectors waste collection business.
This acquisition consolidates JLEN's control over BCH, enhancing operational synergies across its food waste AD plants portfolio, including the Bio Collectors and Codford plants.
The investment is expected to yield attractive returns for shareholders, especially in light of the recent DEFRA announcement mandating separate food waste collections in England by 2025 for businesses and 2026 for households.
"We view the role of food waste anaerobic digestion as strategically important in not only helping to decarbonise our energy and transport systems through the production and usage of biogas but also contributing to the diversion of waste away from landfill," said chairman Ed Warner.