Generate Capital, a San Francisco-based owner and operator of organic waste processing solutions and sustainable infrastructure in North America, announced it has acquired Atlas Organics, a commercial composting company based in Spartanburg, South Carolina, and will provide $200 million for expansion of composting facilities.
Generate has taken ownership of Atlas' eight currently operated composting facilities, which process approximately 365,000 tons of organic waste annually, and announced that Atlas co-founders Joseph McMillin and Gary Nihart will continue to lead the company.
The investment also allows Generate to expand its offerings in organic waste solutions, adding a high-growth platform for the development of composting facilities, the company says in a news release. Generate's bio-digester facilities process over 250,000 tons of food waste per year, turning organic material into renewable natural gas, clean energy and fertilizer.
"Composting plays a pivotal role in reducing greenhouse gas emissions while eliminating waste and supporting sustainable agriculture with chemical-free fertilizers," says Bill Caesar, president of Generate's waste-to-value operations.
"The Atlas Organics team shares Generate's mission-driven approach to decarbonization and we see a tremendous opportunity to leverage the experience and capabilities of the Atlas team to build a significant platform for composting infrastructure development," he adds.
Atlas says it already is developing several new greenfield composting sites and recently was awarded the contract to build, own and operate a composting facility in Salinas Valley, California, as part of its effort to comply with Senate Bill 1383, a regulation that sets statewide targets to reduce the amount of organic waste disposed of in landfills.
"We've built a solid platform for growth and a partner like Generate will help open the door to new opportunities and deliver on our nationwide expansion," McMillin says. "We can focus on building and acquiring composting operations, developing our people and delivering value to our customers knowing that we have the backing of a well-resourced and experienced team to support us."