Graanul Invest affiliate Woodville Pellets, LLC submitted the winning bid in the auction conducted on May 9, 2019 for the assets of Texas Pellets, Inc. and German Pellets Texas, LLC (collectively, “Texas Pellets”). The assets include Texas Pellets’ Woodville, Texas pellet manufacturing plant and its Port Arthur, Texas port terminal, as the company says in the press release received by Lesprom Network.
The transaction was approved by the United States Bankruptcy Court for the Eastern District of Texas, and is planned to be finalized by June 15, 2019. In connection with the acquisition, Graanul Invest received financing from funds managed by affiliates of Apollo Global Management, LLC.
The estimated manufacturing capacity of the wood biomass pellet plant in Woodville, Texas, US, is 450,000 MT of pellets per year. The Port Arthur terminal has a total storage capacity of 68,000 MT, and is capable of loading vessels up to approximately 60,000 MT.
With 11 pellet plants located in the Baltics, Graanul Invest group´s annual production volume is 2.2 million tons of pellets, making it the biggest pellet producer in Europe. Acquisition of the Texas Pellets pellet manufacturing plant offers a possibility to increase the group´s production capacity up to 25%.