Existing Investors Lead Recapitalization of Imperium Renewables
Funding Provides First Step in Restructuring
SEATTLE--(BUSINESS WIRE)--Imperium Renewables today announced a recapitalization comprised exclusively of existing investors of the Company. The majority of the proceeds were used to satisfy its secured project lender, Société Générale, lien holders and unsecured creditors. Imperium will continue to focus on biodiesel production at its 100 million gallon per year nameplate facility in Grays Harbor County, Washington.
“This funding is a significant step in the process we set forth in January to turn this company around, but we still face hurdles as the amount of funding is limited”
“This funding is a significant step in the process we set forth in January to turn this company around, but we still face hurdles as the amount of funding is limited,” said John Plaza, founder and CEO of Imperium Renewables. “Despite the recent and overdue correction in the commodities markets, the biodiesel industry remains extremely volatile and the company is still under stress. We will continue to make deliberate operating decisions intended to ensure the long-term viability of the company. We have not lost sight of our original mission of producing environmentally sustainable alternatives to petroleum fuel.”
As the next step in its restructuring, Imperium has retained an independent third party business debt restructuring firm to assist in negotiating with its creditors to settle its remaining creditor obligations to leave the company with sufficient capital to resume operations.
Imperium Renewables is a U.S. producer of biodiesel, an environmentally friendly alternative to petroleum diesel fuel made from oils derived from farm crops, which can be used in any conventional diesel engine. It can be used in pure form (100 percent biodiesel) or in a “blended” form, in which it replaces a percentage of petroleum diesel. A U.S. Department of Energy study determined that biodiesel emits about 78 percent less carbon dioxide than petroleum diesel. Imperium’s high quality fuel meets or exceeds ASTM D-6751 specifications.
“This investment reflects the continued support and vision of our investors who recognize the benefit of biofuels in general, and Imperium specifically, said Plaza. “With this recapitalization and cooperation of our creditors, we hope to resume operations as soon as possible. We’re committed to fulfilling our vision through hard work and continued innovation.”
About Imperium Renewables
Imperium Renewables is a producer of biodiesel. Its nameplate facility, at a capacity of 100 million gallons per year, is one of the largest in the United States. Biodiesel is a clean burning alternative fuel made from oils derived from farm crops, and can be used in any conventional diesel engine. It can be used in pure form (100 percent biodiesel) or in a “blended” form, in which it replaces a percentage of petroleum diesel.