Germany-based Schmack Biogas has sold its Italy-based biomethane plant-building subsidiary.
According to a statement, issued yesterday, Acerra-based PLC has had a binding offer accepted for 51% of the business.
The statement, which does not give any financial aspects of the deal, said PLC aims to become a main player supplying "multi-technology" renewable plants.
By buying a majority stake in Bolzano-based Schmack Biogas SRL, PLC will be able to "increase business opportunities" in the biomethane sector, "both in Italy and in the new markets", according to the statement.
Back in 2017, Schmack Biogas told ENDS it would end all of its plant construction work due to the "overall weak development" market for new facilities in Germany.
Up until that point, Schmack had tried to develop businesses in other countries. It was involved in the UK’s Milton Keynes Waste Recovery Park and won contracts to build a biogas plant in France and a facility in Bulgaria, among others.
However, this could "not compensate" for the loss of revenue from its domestic business, which has been squeezed annually by cuts to subsidies under the Renewable Energy Act (EEG), it said two years ago.