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Green Plains Agrees to Sell Tennessee Ethanol Plant to POET
ZACKSยท 2025-08-29 15:06
Core Insights - Green Plains Inc. (GPRE) has agreed to sell its Rives, TN-based ethanol plant to POET for $190 million in cash, which includes $20 million of working capital to be adjusted at transaction closing, reflecting the company's commitment to enhance shareholder value and strengthen its balance sheet [1][8] - The transaction is expected to be completed in the third quarter of this year, pending closing conditions and regulatory approvals [2] - A strategic review conducted by the company concluded that continuing with its current strategy under existing leadership is the best way to deliver shareholder value [3][8] Financial Performance - GPRE's stock has experienced a decline of 21.7% over the past year, contrasting with a 2.1% decline in the industry [5] - The proceeds from the sale will be utilized to repay junior mezzanine debt due in 2026, thereby improving the company's financial position [1][8]