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Solör Bioenergi completes Borgstena Energi acquisition

In Sweden, Solör Bioenergi AB has announced that it has completed the acquisition of compatriot Borgstena Energi AB, the company that has produced district heating in Herrljunga since the 1990s. Solör Bioenergi now operates the biomass-fired district heating plant, under the new name Solör Bioenergi Herrljunga AB, and supplies district heating to the municipal company Herrljunga Elektriska AB.

In Sweden, Solör Bioenergi has completed the acquisition of Borgstena Energi and now supplies district heating
from the biomass-fired heat plant in Herrljunga (photo courtesy Mattias Björlevik).

Solör Bioenergi supplies district heating in more than forty locations in Sweden. The customers are private individuals, small and medium-sized municipalities and industries, which use Solör Bioenergi for both construction and operation of plants for the supply of finished heat, steam, and electricity.

The Herrljunga district heating plant currently supplies approximately 200 customers in Herrljunga with heat. The plant produces approximately 23 GWh of district heating per annum.

We will continue to operate the plant and deliver stable heat all year round. Solör Bioenergi has extensive experience and knowledge in district heating that we take with us in our efforts to develop the plant to maintain a high standard, said Jan Lindkvist, Regional Manager at Solör Bioenergi Fjärvärme.

The district heating plant started in the 1990s by Borgstena Energi, which wanted to utilize by-products from the sawmill. The company has now sold the property and associated land to Solör Bioenergi for an undisclosed amount.

This is the last plant in our company that we sell. It is now time to hand over the business with age, said Svante Andersson of Borgstena Energi.

The customer has since the start been the municipal company Herrljunga Elektriska AB. Solör Bioenergi owns the boiler center and the delivery to Herrljunga Elektriska ends where the culverts from the plant take over.

The heat deliveries from Solör Bioenergi are made under the same conditions as before and we look forward to good cooperation with confidence, said Anders Mannikoff, CEO of Herrljunga Elektriska.

The acquisition is part of Solör Bioenergi’s ongoing investment in district heating

Our strategy is to grow both organically and through acquisitions. Herrljunga is a new place for us but the proximity to Vårgårda where we currently conduct district heating operations is positive and I am convinced that the cooperation between Vårgårda and Herrljunga will be positive for both plants, said Anders Pettersson, CEO of Solör Bioenergi Fjärrvärme.

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