Irish biodigester firm to float on London stock exchange
AgCert International, a Dublin based company trading in greenhouse gas credits, has announced plans to list on the London Stock Exchange in June.Ordinary shares will be placed with institutional investors in the UK and continental Europe.
The company was founded in 2002. It provides biodigesters for the agriculture sector to manage animal waste. These collect and combust biogas, converting the methane into carbon dioxide and water, which have a far lower global warming potential than methane.
It is the difference in potential that allows the credits, or offsets, to be generated. Methane is 21 times more potent as a greenhouse gas, so burning it results in a 95% reduction in global warming potential.
The flotation cash will be re-invested in biodigestion technology.
AgCert has identified agriculture as one of the largest commercial opportunities for offset generation as it is responsible for around 20% of the world's annual greenhouse gas emissions. The company operates in Europe, Asia, the US and South America.
In Latin America, the 200 principally swine farms on which it operates, should create a reserve of approximately 15 million Certified Emission Reduction (CER) offsets throughout the life of the contracts. The farmers can benefit form the technology through production of renewable energy, fertiliser and localised environmental benefits.
Estimates suggest that the global market for offsets could reach €34 billion by 2010.
By David Hopkins