MagneGas seeking project finance
Florida-based MagneGas Corporation has signed a letter of intent to form an Ireland-based holding company for the express purpose of acquiring 100% of Infinite Fuels, a biofuels company based in northern Germany. MagneGas will initially own a 40% stake in the joint venture, with the possibility of increasing the Company's equity stake to 70%. The initial transaction is expected to be funded through a combination of cash and equity in the new joint venture.
The joint venture will operate in two renewable energy segments. First, Infinite Fuels will launch its biodiesel operations at an existing facility based in northern Germany, currently operating through a public-private partnership.
The second initiative will be to launch the first MagneGas2 production facility in Europe. This project is currently part of a combined project financing application with a European Union government backed agency. Terms of the financing application are currently confidential. Operations under the new joint venture are expected to launch late in the first quarter of 2018.
