NEW YORK (DTN) -- Green Plains Inc. on Monday announced that it completed the previously announced acquisition of three ethanol plants in the U.S. Midwest for about $237 million in cash plus certain working capital adjustments from Abengoa Bioenergy.
The plants are located in in Madison, Illinois; Mount Vernon, Indiana; and York, Nebraska. All three plants are currently operational and will add 236 million gallons per year of ethanol production capacity.
The company said that, after the purchase, it sold the ethanol storage assets to Green Plains Partners LP for $90 million.
"In the past 12 months, we have expanded our ethanol production capacity by approximately 50 percent. Adding the Illinois and Indiana locations provide us with a bigger and more diverse geographic footprint," said Todd Becker, president and chief executive officer at Green Plains.
"With nearly 1.5 billion gallons of production capacity, we are moving meaningful volumes across the agricultural and energy supply chains, further positioning us to serve both domestic and international markets efficiently and effectively."
Husch Blackwell LLP acted as legal adviser for Green Plains in connection with the transaction. Carl Marks Advisors acted as financial advisors and DLA Piper acted as legal advisers for Abengoa Bioenergy.
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