AOG, a privately-owned investment group, has exited a significant portion of its holding in Addax Bioenergy by transferring 75.1% of the company to a group of investors led by Sunbird Bioenergy Africa. AOG will retain 24.9% holding in the sugarcane bioethanol and renewable power operation in Sierra Leone, with Sunbird Bioenergy’s capital injection taking the project to full commercial operation.
“We are pleased to have found a new majority owner who is passionate about bioenergy and who has a focus on sustainable energy solutions that integrate local communities.” said AOC’s founder and Chairman, Jean Claude Gandur.
Sunbird Bioenergy, which is building a portfolio of sustainable bioenergy projects in sub-Saharan Africa, will now manage and operate the business in Makeni. Addax Bioenergy started the greenfield project in 2008, commencing production in 2014 and making its first sales in 2015. Revenues, costs and development times were all adversely affected by a number of unforeseeable events, including the Ebola crisis which took a terrible toll on human life and forced development contractors to halt work and leave the site and making Addax Bioenergy and AOG downscale the operation and consider alternative options for the future.
AOG, which was founded in 1987, developed into a group of energy companies that are active in the Africa and the Middle East and Africa before diversifying into international real estate and other capital investments.
African Capital Investments and Simbi Capital jointly provided AOG with financial advisory services for the transaction while Eversheds provided the investment company with legal advice.