Cellulosic and biorefining technology company Edeniq has raised $7 million in equity capital. The proceeds will be used to support growth in Edeniq’s Pathway cellulosic ethanol business. The company is focusing on customer acquisition, adding resources to support existing customers, and developing technology enhancements that can potentially increase the amount of cellulosic ethanol eligible for D3 RINs and other regulatory incentives at each customer plant.
The company’s largest existing investors, including Flint Hills Resources, Angeleno Group, I2BF Global Ventures, and Cyrus Capital participated in the equity round. Trinity Capital Investment was a new equity investor in the round. Trinity previously provided debt financing and, concurrently with the equity financing, Trinity amended and restated its debt facility for the Company.
Edeniq’s Pathway Technology is a low-cost solution for producing cellulosic ethanol from corn kernel fiber, utilizing existing fermenters at corn ethanol plants. Within the past four months, three ethanol plants have received cellulosic ethanol registrations from the EPA after deploying Edeniq’s Pathway technology.
With this financing, we are adding resources in sales, field services, laboratory services, and R&D to allow us to more rapidly deploy our Pathway Technology throughout the ethanol industry. With the value of D3 RINs over $2.50 per gallon in 2017, the value proposition is highly attractive for all ethanol plants.—Cam Cast, Chief Operating Officer of Edeniq