Green Plains completes $170 million sale of Tennessee ethanol plant to POET

Published 01/10/2025, 21:24
Green Plains completes $170 million sale of Tennessee ethanol plant to POET

Green Plains Inc. (NASDAQ:GPRE) has completed the sale of its ethanol plant in Rives, Tennessee, to POET Biorefining - Obion, LLC, according to a statement filed with the Securities and Exchange Commission. The sale comes as the company, currently valued at $590 million, manages a significant debt load of $610 million.

The transaction, which closed Thursday last week, resulted in Green Plains receiving $170 million in proceeds plus related working capital. The sale was conducted through Green Plains’ wholly owned subsidiary, Green Plains Obion LLC, under an asset purchase agreement announced on August 27, 2025.

The company disclosed that it has provided unaudited pro forma condensed consolidated financial statements reflecting the transaction, including a balance sheet as of June 30, 2025, and statements of operations for the six months ended June 30, 2025, and for the fiscal year ended December 31, 2024. These financial statements are included as an exhibit to the 8-K filing.

Green Plains’ common stock continues to be listed on the Nasdaq Stock Market under the ticker symbol GPRE.

All information in this article is based on a press release statement included in the company’s SEC filing.

In other recent news, Green Plains Inc. has completed the sale of its ethanol plant in Rives, Tennessee, to POET Biorefining for $190 million in cash. This transaction includes an estimated $20 million in working capital, which will be finalized after closing. Additionally, Green Plains has entered into an agreement with a Freepoint Commodities affiliate to sell Clean Fuel Production Credits, known as 45Z credits, which will be generated in 2025 under the Inflation Reduction Act. These credits will initially come from low-carbon intensity ethanol production at the company’s three Nebraska facilities, with plans to monetize credits from three additional facilities. In light of these developments, Oppenheimer has upgraded Green Plains Renewable Energy’s stock rating from Perform to Outperform, citing the company’s debt reduction efforts following the sale of its Obion plant. The upgrade also reflects the added liquidity to the company’s balance sheet. These recent developments are expected to provide a significant EBITDA boost from the 45Z credits, according to UBS.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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