The Andersons agrees to buy Harvestone Low Carbon Partners from Energy Capital Partners

The Andersons, Inc. (Nasdaq: ANDE) has signed a definitive agreement to acquire Harvestone Low Carbon Partners (HLCP) from Energy Capital Partners for $915 million. Roughly half of the price is attributed to expected 45Z and 45Q tax credit cash flows, with the rest allocated to the base ethanol operations and other low-carbon opportunities.

HLCP owns and operates three ethanol production facilities in North Dakota and Indiana and has developed operating carbon capture and sequestration infrastructure. The Andersons says the deal lifts its combined ethanol capacity to about 730 million gallons a year and expands its Renewables platform by more than 40%. Closing is expected in the fourth quarter of 2026 or early in the first quarter of 2027, subject to regulatory approvals.

The deal will be financed with about $300 million under the company's existing revolving credit facility and $615 million in new long-term debt. U.S. Bank National Association and Farm Credit Mid-America, PCA provided committed financing. Goldman Sachs & Co. LLC is exclusive financial adviser to The Andersons and Polsinelli PC is its legal adviser.