3i Infrastructure said its portfolio company, Future Biogas, bought the remaining stake in a group of six biogas plants for £104m, taking full ownership.
The listed infrastructure investor said Future Biogas, one of the UK’s largest producers of biogas from anaerobic digestion, had acquired the outstanding 49% of the gas-to-grid portfolio from Foresight Environmental Infrastructure, having bought an initial 51% in 2024. Since taking majority control, it had grown the plants’ earnings by around 21%.
3i Infrastructure said full ownership would let Future Biogas pursue growth opportunities, including expanding capacity, and simplify the structure for any future sale. The £104m price was in line with its own recent valuation of the plants.
The deal is being funded by 3i Infrastructure equity and cash from Future Biogas. It expects to return most of that after a refinancing before its financial year-end in March.
Philipp Lukas, Chief Executive Officer, Future Biogas, said: “We are very pleased to be acquiring full ownership of the six plants, which we know well having developed and operated them over many years.”
“Since taking majority ownership in 2024, we have delivered significant improvements in operational performance and identified further opportunities to increase capacity and optimise production. Full ownership will allow us to progress these investments more quickly, unlocking further growth and strengthening Future Biogas’s position as a leading owner, developer and operator of anaerobic digestion plants in the UK.”
Future Biogas sits in the 3i Infrastructure portfolio alongside a mix of predominantly Europe-based infrastructure projects across data centres, healthcare and communications.