Viridis Merchants structures its first transaction
Viridis Energy Inc., a cleantech manufacturer and distributor of renewable energy providing waste biomass fuel to global residential and industrial markets, has announced that its recently launched, wholly owned subsidiary, Viridis Merchants Inc., an aggregation and trading service between buyers and sellers of alternative energy, including wood pellets, has structured its first transaction.
Viridis Merchants has secured approximately 30,000 tons of wood pellets from a southeast U.S. producer, representing approximately 30 percent of the manufacturer's capacity, to be delivered over the next 12 months to customers in Europe. Viridis Merchants is serving as a principal in the trade, providing value-add services such as logistics and marketing to the producer. The first shipment has left port and is headed to the residential market in Europe. This transaction will generate approximately $8 million in annual revenue for Viridis, which will be realized after each recurring monthly shipment, and will be immediately additive to earnings.
Christopher Robertson, Viridis' CEO commented, "We anticipate a profitable growth year in 2014 with revenues from production alone more than doubling to over $30 million, as we realize the full year production of our manufacturing plant in Nova Scotia. In addition, we expect Viridis Merchants to be a complementary and profitable addition to our production capability, and we are encouraged to see how quickly the first transaction has come together. As of today, with this first bulk export transaction in Viridis Merchants, Viridis enters 2014 with approximately 240,000 tons in combined annual production and purchased capacity, a significant increase from 2013."