Pacific Ethanol achieves 100% ownership of Pacific Ethanol plants

By Pacific Ethanol Inc. | June 22, 2015

Pacific Ethanol Inc., the leading producer and marketer of low-carbon renewable fuels in the Western U.S., announced it acquired the final 4 percent ownership interest in PE Op Co., the sole owner of the Pacific Ethanol plants, bringing the company's total ownership interest in PE Op Co. to 100 percent.

Neil Koehler, the company's president and CEO, stated, "We achieved our major milestone of regaining 100 percent ownership of the Pacific Ethanol plants, which has been an important initiative for the company since June of 2010. Our 100 percent ownership position improves our potential to generate net income and reduces administrative costs. It is valuable to have completed this process before we close the Aventine merger scheduled for July 1."

The purchase price of the final 4 percent ownership interest was $3.8 million in cash. On an aggregate basis, the company purchased its 100 percent ownership interest in PE Op Co. for $60.8 million, or 30 cents per gallon of capacity.