Enviro-tech company CleanBay Renewables to go public via $330m SPAC deal
BurTech Acquisition, a blank check company, and CleanBay Renewables, an enviro-tech company, are planning to combine their businesses in a transaction that values the latter at $330 million.
In this regard, the publicly traded special purpose acquisition company (SPAC) has signed a letter of intent (LoI) with the late-stage enviro-tech company.
Under the proposed agreement, CleanBay Renewables’ current equity holders would convert 100% of their equity into the combined public company, with the BurTech Acquisition trust account currently holding around $294 million in cash.
The proposed transaction is anticipated to create a renewable energy and sustainable agriculture platform that can make substantial climate and energy transition contributions.
Founded in 2013, CleanBay Renewables manufactures greenhouse gas credits, organic fertilizer, and renewable energy through anaerobic digestion and nutrient recovery technologies.
Each CleanBay Renewables bioconversion plant can recycle more than 150,000 tons of poultry litter yearly and can produce over 750,000 MMBtus of sustainable renewable natural gas, 100,000 tons of natural, nutrient-rich fertilizer, and up to an estimated 1,000,000 tons of CO2 equivalent carbon credits.
In addition, each plant can produce an estimated 20,000 tons per year of clean hydrogen.
Thomas Spangler — CleanBay Renewables Executive Chairman said: “We believe that our process improves the air, soil and water quality around our facilities.
“In addition, our renewable energy products are a sustainable, environmentally friendly way to reduce emissions and provide a low carbon solution for vehicle fuel, residential use, EV charging and hydrogen production.
“We believe our projects can help to address U.S. climate policy objectives and many of the United Nation’s Sustainable Development Goals.”
CleanBay Renewables has one shovel ready project in Maryland, a second project close to shovel ready in Delaware, which is expected in Q4 2023, and a third project in California.
The enviro-tech company has identified 17 other potential project sites across the US as part of its larger portfolio.
CleanBay Renewables said it has accumulated proprietary intellectual property covering its conversion process to include trade secrets, a US patent and pending patent applications in the US and Europe.
BurTech Acquisition anticipates announcing further details of the proposed business combination after the execution of a definitive merger agreement in the second quarter of 2023.