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    1. Home
    2. Renewable Energy - Hydropower
    3. 9.75 MW Renewable Energy & Sustainable Waste Management (Biomass Cogeneration)

    9.75 MW Renewable Energy & Sustainable Waste Management (Biomass Cogeneration)

    Description

    Canada
    L#20261125

    Fully permitted, turnkey biomass cogeneration and treated wood recycling facility in Quebec, Canada. Following a strategic cessation of operations last year, this asset presents a rare, de-risked entry point for qualified strategic buyers, family offices, and private equity groups. The opportunity offers immediate access to established infrastructure, valuable environmental permits, and grid connectivity within the rapidly expanding North American renewable energy and ESG sectors.

    Key Investment Highlights

    • Proven Operational Scale: Historically processed 90,000 tons of wood waste annually, utilizing biomass to generate 9.75 Megawatts of electricity daily (equivalent to powering approximately 4,500 single-family homes).
    • Strategic Infrastructure: Situated on a 420,000 sq. ft. purpose-built site featuring advanced cogeneration technology, industrial shredding, and comprehensive material recovery systems.
    • Regulatory Advantage: Holds established, transferable certificates of authorization and full compliance with provincial environmental ministry standards for treated wood reclamation and green energy recovery.
    • Tier-1 Supply Chain Legacy: Demonstrated historical procurement and service pipelines with major Canadian infrastructure entities, including national railways, provincial hydro utilities, and telecommunications providers.
    • Compelling Valuation: Offered at $8,000,000, representing a highly attractive entry multiple relative to the substantial replacement cost of the specialized infrastructure, environmental permits, and grid interconnection assets.

    Business Overview

    The facility operated at the intersection of sustainable waste management and renewable energy, executing a rigorous 4R (Reduce, Reuse, Recycle, Recovery) operational model. By diverting post-consumption treated wood (e.g., railroad ties, utility poles, construction lumber) from landfills, the Company transformed environmental liabilities into valuable green energy and reusable materials. Operations were seamlessly integrated with a dedicated on-site cogeneration plant, ensuring zero-waste processing and maximum resource recovery.

    Strategic Upside for New Ownership

    1. Immediate Restart Capability: Leverage existing permits, facility infrastructure, and grid connections to rapidly resume operations with minimal near-term capital expenditure.
    2. Carbon Credit Monetization: Implement modern ESG frameworks to capture and monetize carbon offsets associated with greenhouse gas reduction and landfill diversion.
    3. Capacity Expansion: Scale feedstock procurement and energy output by optimizing the existing 9.75 MW cogeneration framework or integrating supplementary renewable technologies.

    Revenue Forecast (Potential)

    This 5-year financial model provides an Unlevered Free Cash Flow (UFCF) baseline for evaluating the Quebec biomass cogeneration and treated wood recycling facility.
    All figures are expressed in CAD ($) based on standard industry benchmarks for Canadian energy and waste-to-value operations.

    1. Key Operating Assumptions

    • Acquisition & Restart (Year 0 Outflow): $8,000,000 purchase price + $1,000,000 restart/overhaul CAPEX = $9,000,000.
    • Operational Capacity:
      • Nameplate Capacity: 9.75 MW
      • Capacity Factor (~85%): 7,450 operating hours/year
      • Net Power Output: ~72,600 MWh/year
    • Revenue Drivers (Run-rate):
      • Power Sales (PPA / Grid Interconnection): 72,600 MWh @ $85/MWh $\rightarrow$ $6.17M/year
      • Tipping Fees (Wood Waste Processing): 90,000 tons @ $35/ton $\rightarrow$ $3.15M/year
      • Carbon Offsets & Material Recovery: Conservative ESG baseline $\rightarrow$ $0.50M/year
      • Total Full-Scale Revenue: $9.82M/year
    • Operating Expenses (OPEX):
      • Feedstock logistics, labor, O&M, insurance, and environmental compliance: ~$5.40M/year (~55% of revenue).
    • Depreciation, Capex & Taxes:
      • Combined Quebec/Federal Corporate Tax Rate: 26.5%.
      • Sustaining CAPEX: $350k/year.
      • Working Capital Changes ($\Delta$NWC): Normalized working capital cycle.

    2. 5-Year Cash Flow Projection

    Note: Year 1 incorporates an 80% capacity utilization ramp-up; Years 2–5 reflect full operational run-rate with a conservative 2% annual escalation.
    Financial Line Item ($M CAD) Year 0 Year 1 (Ramp-up) Year 2 Year 3 Year 4 Year 5
    Total Revenue — $7.86 $9.82 $10.02 $10.22 $10.42
    Operating Expenses (OPEX) — ($4.50) ($5.40) ($5.51) ($5.62) ($5.73)
    EBITDA — $3.36 $4.42 $4.51 $4.60 $4.69
    Depreciation & Amortization (D&A) — ($0.90) ($0.90) ($0.90) ($0.90) ($0.90)
    EBIT — $2.46 $3.52 $3.61 $3.70 $3.79
    Income Tax (26.5%) — ($0.65) ($0.93) ($0.96) ($0.98) ($1.00)
    NOPAT — $1.81 $2.59 $2.65 $2.72 $2.79
    + D&A Add-back — +$0.90 +$0.90 +$0.90 +$0.90 +$0.90
    – Sustaining CAPEX — ($0.30) ($0.35) ($0.35) ($0.35) ($0.35)
    – $\Delta$ Net Working Capital — ($0.25) ($0.10) ($0.05) ($0.05) ($0.05)
    Initial Outlay ($9.00) — — — — —
    Unlevered Free Cash Flow (UFCF) ($9.00) $2.16 $3.04 $3.15 $3.22 $3.29

    Confidential & Indicative Only: This financial model and the accompanying projections are provided solely for illustrative and preliminary discussion purposes. The assumptions, estimates, cash flows, and return metrics (including IRR and Payback Period) contained herein are forward-looking statements based on theoretical market conditions, standard industry benchmarks, and preliminary data. They do not constitute an offer to buy or sell securities, a binding valuation, investment advice, or a commitment of financing.

    Actual operational and financial performance may differ materially due to market fluctuations, regulatory changes, environmental liabilities, off-take agreement terms (e.g., PPA negotiations with Hydro-Québec), and unforeseen facility restart/maintenance costs. Prospective investors, lenders, and strategic buyers must conduct their own independent technical, legal, environmental, and financial due diligence before entering into any binding transaction.

    Basic Details

    Target Price:

    $ 8,000,000

    Gross Revenue

    $7,860,000

    EBITDA

    $3,360,000

    Business ID:

    L#20261125

    Country

    Canada

    Detail

    Business ID:L#20261125
    Property Type:Renewable Energy - Hydropower
    Target Price: $ 8,000,000
    Gross Revenue:$ 7,860,000
    EBITDA:$ 3,360,000
    Target Price / Revenue:1.02x
    Target Price / EBITDA:2.38x
    Contact M&A Advisor








      Published on August 22, 2026 at 10:00 am. Updated on August 22, 2026 at 10:06 am

      Fully permitted, turnkey biomass cogeneration and treated wood recycling facility in Quebec, Canada. Following a strategic cessation of operations last year, this asset presents a rare, de-risked entry point for qualified strategic buyers, family offices, and private equity groups. The opportunity offers immediate access to established infrastructure, valuable environmental permits, and grid connectivity within the rapidly expanding North American renewable energy and ESG sectors.

      Key Investment Highlights

      Business Overview

      The facility operated at the intersection of sustainable waste management and renewable energy, executing a rigorous 4R (Reduce, Reuse, Recycle, Recovery) operational model. By diverting post-consumption treated wood (e.g., railroad ties, utility poles, construction lumber) from landfills, the Company transformed environmental liabilities into valuable green energy and reusable materials. Operations were seamlessly integrated with a dedicated on-site cogeneration plant, ensuring zero-waste processing and maximum resource recovery.

      Strategic Upside for New Ownership

      1. Immediate Restart Capability: Leverage existing permits, facility infrastructure, and grid connections to rapidly resume operations with minimal near-term capital expenditure.
      2. Carbon Credit Monetization: Implement modern ESG frameworks to capture and monetize carbon offsets associated with greenhouse gas reduction and landfill diversion.
      3. Capacity Expansion: Scale feedstock procurement and energy output by optimizing the existing 9.75 MW cogeneration framework or integrating supplementary renewable technologies.

      Revenue Forecast (Potential)

      This 5-year financial model provides an Unlevered Free Cash Flow (UFCF) baseline for evaluating the Quebec biomass cogeneration and treated wood recycling facility.
      All figures are expressed in CAD ($) based on standard industry benchmarks for Canadian energy and waste-to-value operations.

      1. Key Operating Assumptions

      • Acquisition & Restart (Year 0 Outflow): $8,000,000 purchase price + $1,000,000 restart/overhaul CAPEX = $9,000,000.
      • Operational Capacity:
        • Nameplate Capacity: 9.75 MW
        • Capacity Factor (~85%): 7,450 operating hours/year
        • Net Power Output: ~72,600 MWh/year
      • Revenue Drivers (Run-rate):
        • Power Sales (PPA / Grid Interconnection): 72,600 MWh @ $85/MWh $\rightarrow$ $6.17M/year
        • Tipping Fees (Wood Waste Processing): 90,000 tons @ $35/ton $\rightarrow$ $3.15M/year
        • Carbon Offsets & Material Recovery: Conservative ESG baseline $\rightarrow$ $0.50M/year
        • Total Full-Scale Revenue: $9.82M/year
      • Operating Expenses (OPEX):
        • Feedstock logistics, labor, O&M, insurance, and environmental compliance: ~$5.40M/year (~55% of revenue).
      • Depreciation, Capex & Taxes:
        • Combined Quebec/Federal Corporate Tax Rate: 26.5%.
        • Sustaining CAPEX: $350k/year.
        • Working Capital Changes ($\Delta$NWC): Normalized working capital cycle.

      2. 5-Year Cash Flow Projection

      Note: Year 1 incorporates an 80% capacity utilization ramp-up; Years 2–5 reflect full operational run-rate with a conservative 2% annual escalation.
      Financial Line Item ($M CAD) Year 0 Year 1 (Ramp-up) Year 2 Year 3 Year 4 Year 5
      Total Revenue — $7.86 $9.82 $10.02 $10.22 $10.42
      Operating Expenses (OPEX) — ($4.50) ($5.40) ($5.51) ($5.62) ($5.73)
      EBITDA — $3.36 $4.42 $4.51 $4.60 $4.69
      Depreciation & Amortization (D&A) — ($0.90) ($0.90) ($0.90) ($0.90) ($0.90)
      EBIT — $2.46 $3.52 $3.61 $3.70 $3.79
      Income Tax (26.5%) — ($0.65) ($0.93) ($0.96) ($0.98) ($1.00)
      NOPAT — $1.81 $2.59 $2.65 $2.72 $2.79
      + D&A Add-back — +$0.90 +$0.90 +$0.90 +$0.90 +$0.90
      – Sustaining CAPEX — ($0.30) ($0.35) ($0.35) ($0.35) ($0.35)
      – $\Delta$ Net Working Capital — ($0.25) ($0.10) ($0.05) ($0.05) ($0.05)
      Initial Outlay ($9.00) — — — — —
      Unlevered Free Cash Flow (UFCF) ($9.00) $2.16 $3.04 $3.15 $3.22 $3.29

      Confidential & Indicative Only: This financial model and the accompanying projections are provided solely for illustrative and preliminary discussion purposes. The assumptions, estimates, cash flows, and return metrics (including IRR and Payback Period) contained herein are forward-looking statements based on theoretical market conditions, standard industry benchmarks, and preliminary data. They do not constitute an offer to buy or sell securities, a binding valuation, investment advice, or a commitment of financing.

      Actual operational and financial performance may differ materially due to market fluctuations, regulatory changes, environmental liabilities, off-take agreement terms (e.g., PPA negotiations with Hydro-Québec), and unforeseen facility restart/maintenance costs. Prospective investors, lenders, and strategic buyers must conduct their own independent technical, legal, environmental, and financial due diligence before entering into any binding transaction.

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