Green Plains Completes Sale of Three Ethanol Plants to Valero Renewable Fuels
November 15 2018 - 10:27AM
Green Plains Partners Completes Ethanol
Storage Asset Sale to Green Plains Inc.
Green Plains Inc. (NASDAQ:GPRE) today announced that it completed
the previously announced sale of its three ethanol plants to Valero
Renewable Fuels Company LLC for $319 million in cash, including net
working capital and other adjustments. The transaction includes
ethanol plants located in Bluffton, Ind., Lakota, Iowa, and Riga,
Mich. which represented approximately 20% of the company’s reported
ethanol production capacity.
In conjunction with this transaction, Green Plains Partners LP
(NASDAQ:GPP) announced today that it has completed the sale of the
storage assets and assignment of the rail transportation assets
associated with the three ethanol plants to Green Plains Inc. The
consideration for the transaction consisted of 8.7 million Green
Plains units and a portion of the general partner interest equating
to 0.2 million hypothetical limited partner units to maintain the
general partner’s 2% interest. Green Plains Partners will receive
as additional consideration, approximately $2.6 million in cash
related to the present value gain on railcars transferred, subject
to certain post-closing adjustments.
About Green Plains Green Plains Inc.
(NASDAQ:GPRE) is a diversified commodity-processing business with
operations related to ethanol, distillers grains and corn oil
production; grain handling and storage; a cattle feedlot; and
commodity marketing and distribution services. The company is one
of the leading producers of ethanol in the world and is focused on
the production of high-protein feed ingredients and export growth
opportunities. Green Plains owns a 49.1% limited partner interest
and a 2.0% general partner interest in Green Plains Partners LP
(NASDAQ:GPP), a fee-based Delaware limited partnership that
provides fuel storage and transportation services by owning,
operating, developing and acquiring ethanol and fuel storage tanks,
terminals, transportation assets and other related assets and
businesses.
About Green Plains Partners LPGreen Plains
Partners LP (NASDAQ:GPP) is a fee-based Delaware limited
partnership formed by Green Plains Inc. (NASDAQ:GPRE) to provide
fuel storage and transportation services by owning, operating,
developing and acquiring ethanol and fuel storage tanks, terminals,
transportation assets and other related assets and businesses.
Forward-Looking StatementsThis news release
includes forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995, as amended.
Forward-looking statements reflect management’s current views,
which are subject to risks and uncertainties including, but not
limited to, anticipated financial and operating results, plans and
objectives that are not historical in nature. These statements may
be identified by words such as “believe,” “expect,” “may,”
“should,” “will” and similar expressions. Factors that could cause
actual results to differ materially from those expressed or implied
include risks related to Green Plains’ ability to successfully
completing the portfolio optimization plan and other risks
discussed in Green Plains’ reports filed with the Securities and
Exchange Commission. Investors are cautioned not to place undue
reliance on forward-looking statements, which speak only as of the
date of this news release. Green Plains assumes no obligation to
update any such forward-looking statements, except as required by
law.
Contact: Jim Stark, Vice President - Investor
and Media Relations, Green Plains Inc. (402) 884-8700
Green Plains (NASDAQ:GPRE)
Historical Stock Chart
From Mar 2024 to Apr 2024
Green Plains (NASDAQ:GPRE)
Historical Stock Chart
From Apr 2023 to Apr 2024