Totally Green,a producer of organic food processing systems and compostable packaging alternatives,is set to receive$5m investment and$15m credit line from Canada-based private equity firm York Plains Investment to fund new growth strategy.
York Plains has agreed to provide$5m of equity financing for a 50%interest in the company.The proceeds will be used to pay down the company's existing line of credit,and fund the general,administrative and working capital expenditures required to support its growth objectives.
York Plains has also agreed to provide up to$15m in equipment financing for the roll out of the company's new service program.
Totally Green's ORCA Green Machine processes up to 2,400 pounds of food waste daily,turning it into a nutrient-rich liquid similar to compost tea,the company said.
The ORCA provides commercial kitchens and food processing facilities with an economical and environmentally-friendly alternative to carting waste to a landfill.
Totally Green president Nate Baker said marketing the ORCA Technology under the new service business model is expected to rapidly expand the footprint of ORCA machines and will substantially enhance the recurring revenue stream and profitability.
