(DealWatch) September 17, 2010 – Brazilian private equity fund DGF Investimentos has bought a 32% stake in the Paraiso Bioenergia ethanol plant through its FIP Terra Viva. The plant, located in Brotas (Sao Paulo state), gives DGF shares in projects with a processing capacity of 8mn tones of sugar cane. The fund is eventually looking to increase this figure to 15mn -20mn in the coming years and is investing up to BRL 30mn in achieving this goal.
Paraiso Bioenergia includes 27,000 hectares of sugar cane fields, of which 60% is used for sugar production and 40% for alcohol. Following DGF Investimentos’ entry into the scheme, it seems likely a BRL 160mn, 70MW co-generation plant at the facility will be built in 2013, powered by sugar cane bagasse.
via Valor Economico