An Ottawa factory that converts garbage into power has received a record-breaking $110-million investment deal.
The majority of the money – $100 million – comes from a huge U.S. investment company that now has substantial minority ownership of Plasco.
Ares Management of Los Angeles is the big investor and this deal tops all the money brought into Ottawa companies last year and for the first part of this year.
Plasco's factory converts city garbage at high temperatures into electrical power. The first large-scale plant is in Ottawa.
CEO Rod Bryden tells CTV Ottawa the cash allows him to move from "treading water to now full speed to deal with a lot of demand."
Bryden admits he still does not have final approval from the Ontario Ministry of the Environment to allow the plant to operate.
However, he says one solution is to put a catalytic convertor on the smokestack to remove a chemical and the company needs to submit final testing for organic material coming out of the stack.
He says the facility produces less of the material than is approved for other engines, but this is the very first time an engine like this has been licensed in Ontario and the ministry is being extra careful. Bryden thinks they can resolve that issue in a very short time.
As for handing over substantial minority ownership to the American company, Bryden says he is satisfied.
"It's a good deal for them and it lets me move ahead," he said.
