Lotus Infrastructure Partners announced that GCA Holdings, an affiliate of Lotus Infrastructure Partners and MB Energy, has entered into a definitive agreement to sell Gulf Coast Ammonia’s production facility in Texas City, Texas. Yara North America, a subsidiary of Yara International, will acquire the facility for $1.3 billion plus certain working capital adjustments.
The transaction represents a major milestone for Lotus and highlights its ability to develop, finance, and commercialize large-scale infrastructure assets. Completion of the transaction is subject to customary closing conditions and regulatory approvals.
Gulf Coast Ammonia is a single-loop ammonia facility with a nameplate capacity of about 1.3 million metric tons per year. The facility is currently in commissioning and, once completed, is expected to be one of the most efficient and largest single-loop ammonia facilities globally.
Under Lotus’ ownership, Gulf Coast Ammonia advanced from a complex development and construction project into a strategically positioned ammonia production export asset in North America. The facility benefits from access to the U.S. Gulf Coast’s industrial base, logistics infrastructure, and natural gas-linked feedstock environment.
Lotus said the project reflects its ability to partner across the energy and industrial value chain to deliver critical infrastructure at scale. The firm specializes in infrastructure investments across renewable power generation, battery storage, renewable and low-carbon fuels, electric transmission, thermal power, and midstream and downstream assets.
The sale was supported by J.P. Morgan as exclusive financial advisor to GCA Holdings. Vinson & Elkins served as legal counsel to GCA Holdings.
Lotus Infrastructure has raised more than $4 billion of equity capital. The firm has also executed transactions totaling more than $10 billion in enterprise value, including more than $3 billion in enterprise value tied to the development and construction of renewable assets.
KEY QUOTES:
“Gulf Coast Ammonia is a world-class asset that required disciplined execution across development, financing, construction and commercial structuring. The Lotus team worked closely with our partners to execute numerous operational, financial and contractual value-add initiatives. We are confident that Yara, a global leader in ammonia and crop nutrition, will be a strong steward of the asset moving forward.”
Philipp Pletka, Managing Director of Lotus Infrastructure Partners
“The signing of this agreement is an outstanding outcome for Lotus, our partners and our investors, and highlights our value-add, customer-driven investment approach. Ammonia is a significant and growing commodity, and the United States is well positioned to capitalize on its abundant natural resources to supply domestic and global rising demands. We at Lotus look forward to working with global customers and strategic partners to continue delivering these world-class infrastructure projects.”
Himanshu Saxena, Chairman and CEO of Lotus Infrastructure Partners
