Future Capital Partners (FCP) is seeking to raise GBP7m to fund the next stage of its socially responsible investment initiative, Future Fuels LLP. Future Fuels aims to build a renewable transport fuel (RTF) refinery in Grimsby, which will deliver 15 to 20 per cent of the UK’s requirements by 2016.
The investment aims to provide a ROI of 100 per cent to investors, with a post-tax IRR of up to 40 per cent.
The latest fundraising follows a recent capital-raising exercise which saw Future Fuels acquire the assets of a US bioethanol plant in March 2013. The additional capital raised will be used to fund the integration of the new assets into the project plan, progress site development work, finance the maintenance of the US plant’s assets and undertake a thorough review of US value maximisation opportunities.
The minimum investment in Future Fuels LLP is GBP50,000.
Piers Denne (pictured), director of sales at Future Capital Partners, says: “This new phase of capital-raising offers a fresh opportunity for investors to gain exposure to the UK bioethanol sector. The renewable sector is often overlooked by investors, but it offers attractive returns and the market for bioethanol is set to triple in the next seven years as UK Government and EU regulation focus on renewable transport fuels (RTFs) at the heart of their carbon reduction strategy.
“Our production facility will meet the needs of the legislative and environmental push for greener fuels in the UK and EU. This development is well placed to capitalise on the market opportunity for RTFs and we look forward to exploring the best possible revenue and profit generation options in the UK and the US.”
