Diversified holding company HC2 Holdings Inc. said its portfolio company American Natural Gas (ANG) is acquiring ampCNG for $41 million, creating a top U.S. compressed natural gas (CNG) provider.
Chicago-based ampCNG provides CNG to locations primarily in the Southeast and to Texas. Acquiring ampCNG and its 20 natural gas fueling stations would make ANG one of the largest owners and operators of CNG stations in the country, management said.
CEO Andrew West said ANG is optimistic about the new acquisition and believes it complements “our overall company mission of supporting America by making natural gas readily available for commercial and public vehicle fueling.”
“Near-zero emission CNG vehicles, paired with renewable natural gas, provide for a massive reduction in greenhouse gas emissions and diminish the adverse health impacts from the transportation sector,” West added.
ANG said it would continue to build, operate and maintain its natural gas fueling stations, as well as pursuing the company goal of providing 100% renewable natural gas, or RNG, by 2020.
ANG is funding the acquisition through a combination of cash and debt, as well as preferred shares at the portfolio company level.