DealUpdate - Foresight Group

DealUpdate
COMMITTED/INVESTED: £5 million
TYPE: Growth Capital
DATE COMPLETED: March 2009
SECTOR: Food waste recycling
WEBSITE: www.vertal.co.uk
THE COMPANY
Vertal Limited, a food waste recycling company, specialises in
the construction and operation of advanced in-vessel accelerated
composting plants, which convert food waste into a nutrient rich
fertiliser product that can replace petrochemical fertilisers currently
used by farmers.
THE DEAL
> Foresight has invested an initial £5 million of equity capital in Vertal to
support the construction of its facility in South East London and to help
accelerate Vertal’s plans for further sites as part of its roll-out strategy.
> Vertal addresses a significant gap in the UK market for food waste
processing. Currently 15 million tonnes of food waste are sent
to landfill every year, and with escalating Landfill Tax and rising
recycling and diversion targets relating to local authority waste, there
is a clear demand for alternative processing methods.
> Vertal’s management team has extensive experience in the waste
industry and in processing technology, including a dedicated in-house
expertise in the aerobic digestion of food waste. The team is led by
Managing Director and founder of Vertal, Leon Mekitarian, who has
nearly 17 years experience in the waste management industry.
> Nigel Aitchison from Foresight will sit on the company’s board.

INVESTMENT IN ENVIRONMENTAL INFRASTRUCTURE
The investment reflects Foresight’s continued focus on companies
operating environmental infrastructure such as recycling facilities
and renewable energy generators. Foresight’s environmental team is
expert in this sector and includes experienced operational managers
from the waste and process industries.
ABOUT FORESIGHT GROUP
Foresight is an alternative asset manager, with a strong track record
and specific expertise in environmental infrastructure sectors,
including renewable energy, recycling, and waste treatment, and
technology-led and private equity sectors.
The group has over 200 years of collective investment experience
and offers entrepreneurial managers strategic business expertise to
create long-term value and generate higher returns for shareholders.
Foresight has invested in more than 60 companies over more than 20
years. It supports rapid organic growth through infrastructure rollout
as well as backing leveraged MBOs, spin-outs and buy and build
strategies.
Foresight has a successful track record in acquiring, developing
and exiting unquoted companies and manages approximately £200
million across a number of proprietary funds, including Limited
Partnerships, Enterprise Investment Schemes (EIS) and Venture
Capital Trusts (VCTs).
CONTACT DETAILS
For further information on this transaction, please contact:
Nigel Aitchison, Foresight Group, ECA Court, South Park, Sevenoaks, Kent,
TN13 1DU
Tel: 01732 471 800
naitchison@foresightgroup.eu
This note is for information only and is provided for Professional use only on a confidential basis. It is not an offer, invitation
or recommendation to apply for shares in the VCT or the Company which is the subject of this note.