Green Plains has completed the sale of three ethanol plants to Valero Renewable Fuels Company for $319 million.
The sale includes ethanol plants in Bluffton, Indiana, Lakota, Iowa and Riga in Michigan, which represented 20% of the company’s reported ethanol production capacity.
In additional, Green Plains Partners has completed the sale of the storage assets and assignment of the rail transportation assets associated with the three ethanol plants to Green Plains.
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.