Plasco Energy Group Inc has been bought by RMB Advisory Services Inc, a firm owned by Roderick M. Bryden. Bryden, who is Plasco’s founder, has been appointed chairman and CEO of the company, roles he previously held. No financial terms were released. Ottawa-based Plasco, a waste-to-energy technology company, filed for creditor protection in February and was acquired by its secured creditors, North Shore Power Group Inc and Canadian Water Projects Inc. Over the years, it has raised about $250 million in private equity and venture capital, according to Thomson Reuters. Its most recent backers have included Ares Management, Killick Capital and Soros Fund Management.
Plasco Announces New Ownership and Direction
OTTAWA, Sept. 28, 2015 /CNW/ – Plasco Energy Group Inc. (“Plasco” or the “Company”) is pleased to announce that it has been acquired by RMB Advisory Services Inc. of Ottawa, Ontario, Canada, a company owned by Roderick M. Bryden. Mr. Bryden is the sole Director of Plasco, and has been appointed as Chairman and Chief Executive Officer, a position previously held by Mr. Bryden from the Company’s formation in 2005 until January 2014.
As announced by North Shore Power Group Inc. (“NSPG”), Plasco was acquired by NSPG and Canadian Water Projects Inc. (“CWP”) (NSPG and CWP, collectively, the “Secured Creditors”) pursuant to the Companies’ Creditors Arrangement Act (“CCAA”) process for the value of debt owed by Plasco to the Secured Creditors. All other third party liabilities of Plasco were transferred from Plasco and assumed by an unrelated entity, which continues to be subject to CCAA protection by the Court.
RMB Advisory Services Inc. acquired 100% of the issued and outstanding shares of Plasco from the Secured Creditors.
Plasco remains the owner of all intellectual property, financial and business information created over almost a decade of investment from April 2005 to December 2014. The test and commercial scale demonstration facility known as Plasco Trail Road (“PTR”) operated from July 2006 to December 2014. PTR successfully fulfilled its purpose in performing comprehensive test operations, verified by third party engineering firms, which proved the efficacy of Plasco’s waste-to-energy technology. Plasco will apply its proprietary technology to develop commercial plants for the clean conversion of municipal solid waste to energy and other valuable products.
Mr. Bryden said: “all the value created since Plasco’s formation is embodied in the technology, plant design and know-how generated during 8 years of operational testing at the Trail Road facility. I am confident that this value is substantially greater than the investment made in its creation. 2015 has been a difficult period for all those supporting the company. The result of the last 8 months of CCAA protection has been to preserve substantially all of the value created in Plasco, none of which would have been possible without the actions taken by Plasco’s secured creditors, North Shore and CWP, who stayed with it and kept their eyes on the ball.”
“I am honored to have been selected by North Shore and CWP to lead Plasco on the path to value creation. I am happy to announce that key leaders of Plasco’s development have rejoined the company to seize upon this remarkable opportunity, namely, Marc Bacon, former Vice President Engineering, as Executive Vice President Operations and Engineering, Andreas Tsangaris as Chief Scientific Officer, Tom Wagler as Manager of Process Engineering, Dr. Qinglin Zhang and Liang Zou as senior engineers, and Barbara Shipman, former Quality Documentation Specialist, as Office Manager. Robert Mclnnis, currently Vice President at SC Stormont Inc., is appointed as Plasco’s Chief Financial Officer. The team is already fully engaged. I look forward to building on a decade of innovation and product development to bring Plasco’s Conversion System to the world market.”
About Plasco Energy Group Inc.
Plasco Energy Group Inc. is an innovative waste-to-energy technology company based in Ottawa, Canada. Plasco’s conversion technology is a sustainable solution for the recovery of energy and clean aggregate from municipal solid waste, while minimizing environmental impact.
Photo courtesy of ZW Group of Companies