Leading Biodiesel Firm Strongly Supported
Credit Suisse Customized Fund Investment Group on behalf of New York Common Retirement Fund (New York), RNK Capital and Lyrical Partners closed on a $15.5 million financing round into Innovation Fuels (Albany), rapidly emerging renewable fuel company that manufactures, markets and distributes biodiesel fuel to customers around the world. Innovation Fuels is the first biodiesel refinery company supported by all three institutional investors.
The Credit Suisse led funding came in two tranches: the first at the end of 2008 and the second was completed more recently, based on the successful completion of several milestones by Innovation Fuels, and the funding included $10.5 million in equity and $5 million in a credit enhancement to be used to secure working capital. The funding was provided in order to accommodate several areas of strategic growth.
The company also recently announced that it has forged a banking relationship with Citizens Financial Group, Inc.’s Citizens Bank. Innovation Fuels has received from Citizens Bank a working capital line of credit to support its production and sale of biodiesel. Innovation Fuels will also be using Citizens Bank’s cash management and trade banking services as the partnership will help to foster continued growth and expansion for the company in the U.S. and around the world. l FON