Biofuel Energy Corp. (Nasdaq: BIOF) is buying JBGL Builder Finance LLC and subsidiaries of JBGL Capital LP for $275 million.
JBGL is a group of real estate-related companies that purchase and develop land for residential purposes, provide construction loans and build homes.
BioFuel, headquartered in Denver, owned ethanol plants until 2013, and then switched focuses to provide consulting services to bio-chemical companies.
The purchase price includes proceeds of a $70 million rights offering and $150 million in debt financing provided to Biofuel from hedge fund-seller Greenlight Capital Inc.
Duff & Phelps LLC is acted as financial adviser to Greenlight’s special committee, while Richards Layton & Finger PA are providing legal advice. Cravath Swaine & Moore LLP is Biofuel’s legal counsel. Akin Gump Strauss Hauer & Feld LLP is legal adviser to Greenlig