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CDI Global advised ZEG Biogas in transaction with Brazil fuel retailer Vibra Energia

CDI Global Brazil advised ZEG Biogás on its sale to Vibra Energia. 

Brazilian fuel retailer Vibra Energia SA VBBR3.SA acquired 50% of ZEG Biogas, with the possibility of increasing the stake to 70% in the future, as it looks to expand its footprint on renewable energy.

Vibra's initial investment of 30 million reais ($5.63 million) on ZEG upon closing of the deal, which will also include a second installment of 129.5 million reais.

It has also committed to invest up to 412 million reais in the company over the next few years for the execution of biogas and biomethane projects.

ZEG Biogas has the potential to reach output of more than 2 million cubic meters per day in up to five years. ZEG's production can be carried capturing biogas from landfills or through the biodigestion of agro-industrial residues such as sugarcane vinasse.