IFM Investors bets on RNG developer GreenGas

Australian pension fund manager IFM Investors has reached an agreement to buy a majority stake in US-based renewable natural gas (RNG) developer GreenGasUSA, marking the first low carbon fuels bet through its IFM Net Zero Infrastructure Fund (NZIF).

The size of the targeted interest and the value of the investment were not disclosed.

Charleston, South Carolina-based GreenGas, formerly known as NeoGas, uses mature technologies to capture, purify and transport biogas from existing organic waste streams for its end use as pipeline-quality RNG. The company counts among its customers Mercedes-Benz, Berkshire Hathaway Energy, Enviva, Sonoco and Duke University.

The investment from IFM will provide long-term capital to expand the US firm’s RNG projects pipeline, a press release said.

The transaction is set to close in the first quarter of 2023, subject to regulatory clearances.

Choose your newsletter by Renewables Now. Join for free!