In September 2018, Zilkha Biomass Selma LLC, the owner of a renewable fuel wood pellet plant in Selma, Alabama, issued $59.8 million in bonds to refinance outstanding debt and to fund improvements to and recommissioning of the plant. Our firm represented Zilkha Biomass Selma in the issuance of the bonds, and in negotiations with the company's existing lenders and the landlord of the property on which the plant is located.
When recommissioned, the plant will allow Zilkha Biomass Selma to use its proprietary technology to produce Zilkha BlackTM Pellets, which are renewable, water-resistant biomass pellets that can be transported like, and cofired with, traditional coal. White pellets, which are the predominate type of wood pellets currently on the market, cannot be exposed to moisture without significantly degrading the pellets' energy content. Our firm advised on key aspects of the financing transaction, including structuring, due diligence, commercial contracting, debt security issuance and related matters.
