Buyout of Cheltenham recycling firm given the green light
By Laura Enfield | 23rd August 2023
The buyout of Cheltenham recycling firm Andigestion Limited has been given the go-ahead.
Utilities company Severn Trent announced its intention to acquire the food-waste-to-energy firm in February - but the deal was subject to clearance by the Competition and Markets Authority (CMA).
It gave the proposals the nod on Friday (August 18).
Andigestion, which has a base in Bishops Cleeve, operates and designs commercial scale plants for processing industrial and domestic food waste into renewable energy and fertiliser.
It is being bought by Severn Trent Green Power (STGP) - the renewable energy arm of the water company for an undisclosed sum.
STGP said the acquisition will bring an additional 45GWh of energy generation output every year and give it new reach into Southwest England covering major cities such as Bristol, Gloucester and Exeter, helping more businesses to recycle their food waste into renewable energy.
Christer Stoyell, managing director of STGP, said: "This acquisition will improve localised competition and expand the geographical coverage of our market-leading operations.
"We are extremely excited to welcome all incoming employees into the Green Power business.
"We believe the existing Andigestion portfolio has the potential for significant growth and we look forward to delivering this in the coming years."
STGP is one of the largest producers of renewable energy from food waste in the country, exporting roughly 300GWh of energy every year. A quarter of all UK households' collected food waste is sent to its anaerobic digestion facilities for processing and recycling into clean energy that can power 60,000 homes.
It said the planned acquisition will also help bolster the energy resilience of Severn Trent and play a key role in delivering its Triple Carbon Pledge (net zero emissions, 100% energy from renewable sources, and 100% electric fleet) by 2030.
Copyright 2023 Moose Partnership Ltd. All rights reserved. Reproduction of any content is strictly forbidden without prior permission.