Mar 11, 2022 - Economy

Private equity firm invests in hog manure-to-energy producer

Dan Primack

An $100 with a pig in the middle — Illustration: Eniola Odetunde/Axios

TPG Rise invested in Monarch Bioenergy, a St. Louis-based renewable natural gas producer formed in 2018 by pork processor Smithfield Foods.

Why it matters: This is an effort to combat (and monetize) the immense amount of carbon emissions produced by animal farming, and also to cut down on the use of inorganic fertilizers.

Details: TPG will own a one-third stake in the business, with Smithfield and partner Roeslein Alternative Energy each also owning one-third. No financial terms were disclosed.

The bottom line: Monarch's long-term goal is to create a closed-loop system whereby it converts methane and prairie grasses into natural gas, and then uses that natural gas as both prairie fertilizer and feedstock.

Add Axios on Google

Private equity firm invests in hog manure-to-energy producer

What to read next