Drax’s acquisition of the remaining 10% stake in Alabama Pellets is a useful tidying up of the holding in our view, bringing control over additional capacity and increasing economic exposure to this valuable business. With the potential to develop BECCs capacity in North America, we see additional pellet supply as important in de-risking that development process.

03 Oct 2022
Drax Group - Tidying up in Pellets

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Drax Group - Tidying up in Pellets
Drax Group plc (DRX:LON) | 685 -17.1 (-0.4%) | Mkt Cap: 2,375m
- Published:
03 Oct 2022 -
Author:
Adam Forsyth -
Pages:
6 -
Drax’s acquisition of the remaining 10% stake in Alabama Pellets is a useful tidying up of the holding in our view, bringing control over additional capacity and increasing economic exposure to this valuable business. With the potential to develop BECCs capacity in North America, we see additional pellet supply as important in de-risking that development process.