Investment firm 3i Infrastructure to acquire UK landfill gas specialist Infinis for £185m

Jersey-based investment firm 3i infrastructure has agreed to buy UK-based renewable energy supplier Infinis and its subsidiaries for £185 million (€206m).

The investment specialist is expected to acquire all of Infinis's landfill gas assets by the end of November, using all of the capital raised in June this year.

Infinis is the largest landfill gas (LFG) electricity generator in the UK, with 121 gas sites spread across the country.

Infinis Group, Infinis’ parent company, is one of the largest generators of renewable electricity, generated through LFG and onshore wind, and is owned solely by funds managed by Terra Firma Capital, a well-known European private equity firm.

“Our long-term plans for the business primarily involve a continuation of management’s existing focus on maximising gas and electricity yield, driving cost efficiencies, maintaining strong relationships with landfill owners and other key stakeholders, and maintaining the highest standards of environmental, health and safety management,” said Ben Loomes and Phil White, managing partners and co-heads of infrastructure at 3i Investments. They added that the buyer will seek to monetise spare engine and grid connection capacity.

The firm 3i Infrastructure said it will pay for this purchase with what is left of the cash from the capital hike implemented in June 2016.