CapMan Infra invests in heat-as-a-service operator and bioenergy producer ProPellet
CapMan Nordic Infrastructure II fund invests in ProPellet, a heat-as-a-service (“HaaS”) operator and bioenergy producer. The company offers property-specific HaaS solutions and operates its own pellet fuel production facilities. CapMan Infra aims to support the company’s growth by financing investments in the HaaS operations and expansion into new customer groups and energy technologies.
CapMan Infra has agreed to acquire a majority stake in the heat-as-a-service and bioenergy company ProPellet Oy. The company’s key personnel will continue as minority owners alongside CapMan Infra.
Founded in 2006, ProPellet is Finland’s leading producer of pellet-based bioenergy and now employs about 25 people. The company provides its customers with property-specific heating plants as a service, with a portfolio of over 120 heating sites across Finland. In addition, the company operates its own pellet fuel production facilities in Ylivieska and Tervola, which utilise side streams from the forestry and sawmill industries. ProPellet’s business has experienced strong growth in recent years, particularly due to the ongoing transition from oil-based heating to biofuels.
“We are very pleased with this investment. ProPellet is a company with considerable growth potential, and our aim is to invest in the development of the heating service business as well as support expansion into new energy technologies,” says Pekko Haaksluoto, Partner at CapMan Infra.
“This transaction greatly enhances our capacity to address our customers’ needs. With additional resources and expertise at our disposal, we will be able to serve our customers even better and continue developing innovative, cutting-edge energy solutions. We believe that CapMan is an excellent partner with whom we can take our heat service business to a new level and promote the green transition in the heating sector,” says Timo Peltokorpi, COO of ProPellet.
The transaction is conditional on approval by the competition authorities and is expected to be completed by the end of 2024.
The CapMan Nordic Infrastructure II fund is an Article 8 fund with a clear sustainability strategy, aiming to create value by accelerating the green transition in its portfolio companies. The fund has already made five investments: two in a growing data centre platform, in solar energy company Skarta Energy, in Napier, a leading provider of transportation infrastructure for the aquaculture industry, and in Haminan Energia’s district heating and electricity network businesses.
CapMan Infra is an active and committed owner, and its activities are based on the operational development and growth of infrastructure companies through additional investments. Based in Helsinki and Stockholm, its team of 14 professionals actively seeks to find the best possible solutions for developing and growing infrastructure together with asset owners, management, personnel and customers.
For more information:
Pekko Haaksluoto, Partner, CapMan Infra, tel. +358 40 584 6031
About CapMan
CapMan is a leading Nordic private asset expert with an active approach to value creation and €6 billion in assets under management. As one of the private equity pioneers in the Nordics we have developed hundreds of companies and assets creating significant value for over three decades. Our objective is to provide attractive returns and innovative solutions to investors by enabling change across our portfolio companies. An example of this is greenhouse gas reduction targets that we have set under the Science Based Targets initiative in line with the 1.5°C scenario and our commitment to net-zero GHG emissions by 2040. We have a broad presence in the unlisted market through our local and specialised teams. Our investment strategies cover real estate and infrastructure assets, natural capital and minority and majority investments in portfolio companies. We also provide wealth management solutions. Our service business includes procurement services. Altogether, CapMan employs around 200 professionals in Helsinki, Jyväskylä, Stockholm, Copenhagen, Oslo, London and Luxembourg. We are listed on Nasdaq Helsinki since 2001. www.capman.com
