Gresham House Renewable Energy VCT 1 and 2 announce investment into bio-bean

bio-bean was advised on this transaction by ClearlySo, Europe’s leading impact investment bank.

November 21, 2019

London, 21 November 2019 – The Boards of Gresham House Renewable Energy VCT 1 plc and Gresham House Renewable Energy VCT 2 plc (the Gresham House VCTs or the VCTs) are very pleased to announce that they have made a new investment of £1.2 million into bio-bean, the world’s largest recycler of waste coffee grounds.

This investment represents 30% of the £4 million funding round announced by bio-bean in April 2019. The Gresham House VCTs’ investment forms the final part of that round, and values bio-bean at £7.6 million.

The investment, split 50/50 between the two VCTs and respectively £800k of equity and £430k of debt, will further enable the company to upgrade and expand its capacity in order to improve efficiencies and execute its business plan. Within its business plan bio-bean is seeking to achieve both geographical expansion into mainland Europe and to launch new products in the flavour and fragrance market.

bio-bean recycles used coffee grounds into efficient, sustainable products for both consumer and industrial applications. This includes Coffee Logs, an eco product for wood burners and stoves that is quickly growing in consumer popularity and is stocked by several major UK retailers. bio-bean will now seek to expand product output considerably.

The investment will also help bio-bean, which is currently UK-based, to apply its successful model for recycling waste coffee grounds into mainland Europe, working in co-ordination with various international partners within bio-bean’s value chain.

Bozkurt Aydinoglu, Investment Director at Gresham House and co-manager of the VCTs stated:

bio-bean has a unique proposition and hard asset backing, meaning it fits very well within our existing sustainable investment portfolio. We look forward to seeing the fruits of the team’s labours as they build scale and diversify their product portfolio.”

The Gresham House investment team remains on the look-out for new opportunities to put capital to work in the clean technology space, seeking to help the UK’s transition to a low-carbon economy.

bio-bean was advised on this transaction by ClearlySo, Europe’s leading impact investment bank.


 Notes to editors

For further information, please contact:

KL Communications
Camilla Esmund / Charles Gorman / Alex Hogan
T: +44 (0) 203 995 6699

John Lloyd
T: +44 (0)20 7490 9520

About the Gresham House Renewable Energy VCTs and Gresham House

The Gresham House VCTs were launched by Gresham House New Energy (formerly Hazel Capital LLP) in 2010. £41.6m was raised between 2010 and 2011 representing the most successful ever launch by a new entrant to the VCT market. They are ranked ‘best in class’ when compared to all other VCT offerings launched in 2010/2011[1] and have the highest total return metrics of any non-AIM VCT launched in the last ten years (at 161.1 and 159.8 pence per share for Gresham House Renewable Energy VCT 1 and Gresham House Renewable Energy VCT 2 respectively)[2]. These returns exclude the 30% VCT tax rebate available to UK tax payers. Last year in December 2018, the VCTs paid a dividend of 6 pence, bringing the total dividend payments, to shareholders who invested at launch, to 45 pence.

Gresham House plc is an AIM quoted specialist alternative asset manager providing funds, direct investments and tailored investment solutions, including co-investment, across a range of highly differentiated alternative investment strategies. Expertise includes strategic public and private equity (private assets), forestry, new energy, housing and infrastructure.

Gresham House aims to deliver sustainable financial returns and is committed to building long-term partnerships with clients, (institutions, family offices, high-net-worth individuals, charities and endowments and private individuals) to help them achieve their financial goals. Shareholder value creation will be driven by long-term growth in earnings as a result of increasing AUM and returns from invested capital.

About bio-bean

bio-bean Limited is an award-winning clean technology company, the first in the world to industrialise the process of recycling waste coffee grounds into advanced biofuels and biochemicals. bio-­bean works within the existing waste infrastructure, developing sustainable products and solutions to displace conventional fuels and chemicals.

About ClearlySo

ClearlySo is Europe’s leading impact investment bank, working exclusively with enterprises and funds delivering positive social, ethical, and/or environmental impact as well as financial return.

Originally founded in 2008, ClearlySo has helped more than 145 clients raise more than £253 million in impact investment from its extensive network of high-net-worth individual, family office and institutional investors.

ClearlySo is headquartered in London.

[1] Tax Efficient Review VCT Performance Table as at 25 October 2019

[2] NAV date as at 31 March 2019