OPAL Fuels, a producer and distributor of renewable natural gas used in transportation and industrial sectors, announced it has closed a new $180 million preferred stock facility with an affiliate of its majority shareholder, Fortistar. The financing provides capital to support the company’s growth initiatives and strengthen its balance sheet.
At closing, the company issued $120 million from the facility. Approximately $100 million of that amount was used to fully redeem the Series A Preferred Units previously held by Mendocino Capital, LLC. The remaining $60 million will remain available for future drawdowns as OPAL Fuels continues expanding its renewable natural gas infrastructure and project pipeline.
The company said the financing is intended to support the development and construction of additional renewable natural gas projects and fueling infrastructure aimed at heavy-duty transportation markets. OPAL Fuels focuses on capturing methane emissions and converting them into low-carbon-intensity renewable natural gas and renewable electricity.
Based in White Plains, New York, OPAL Fuels develops and operates projects that capture biogas and convert it into energy products while also marketing and distributing renewable natural gas to trucking fleets and other industrial sectors that are difficult to decarbonize.
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“This financing sets the stage for the company’s next stage of growth. We remain committed to delivering long-term shareholder value. The new preferred stock facility will enable OPAL Fuels to complete development and construction of new RNG projects and fueling infrastructure to support heavy-duty transportation.”
Jonathan Maurer, Co-Chief Executive Officer, OPAL Fuels
