Addison-based Nexus PMG announced a $50 million growth equity round that represents a significant milestone as it builds on a decade of experience in the low-carbon waste-to-value sector. The company said the funding will allow it to quickly expand its services business and project development business lines in North America.

The round was led by an affiliate of New York City-based Greenbacker Capital Management LLC with participation from the Ontario Power Generation Pension Fund and Liberty Mutual Insurance.

“Nexus PMG’s strategy of consulting for, and directly developing in, the waste-to-value space is an attractive, high-growth proposition,” Greenbacker Principal Quinn Pasloske said in a statement. “The transformation of our waste infrastructure and the production of low-carbon fuels is a critical component of the global energy transition, but the assets are challenging. Nexus PMG is well-equipped to assist clients in navigating those complexities while advancing its independent platforms and assets.”

Reducing emissions in tough-to-abate sectors

An early mover in the low-carbon infrastructure sector, Nexus PMG’s services business has supported more than 80 unique investors and has advised on over 500 unique infrastructure assets, the company said.

Nexus PMG said that with the new round of funding, it aims to broaden its primary service offerings including front-end engineering and design, development-as-a-service, and operational turnaround.

The company said it also leverages its deep knowledge in the space to develop greenfield and brownfield assets across North America, creating low-carbon (or even carbon-negative) products to reduce the emissions of tough-to-abate sectors such as aviation and chemicals production.

Nexus PMG serves upwards of 100 investors, developers, and corporations that collectively have more than $300 billion of energy transition assets under management and more than $1 trillion of global assets under management, the company said.

To date, the company said it has supported various stages of development and execution on more than $35 billion worth of low-carbon infrastructure projects across 26 U.S. states, 13 countries, and five continents.

With a decade of deep knowledge and experience consulting on the design, bid, and build side of low-carbon infrastructure, where Nexus PMG works closely with the owners and financiers of these projects, the company’s services business is primed for growth, Nexus said.

Turning waste into renewable natural gas

The company said that in the next phase, it will hire more talent and expand its offerings and client base, while continuing to tailor to industry needs.

“Green molecule infrastructure is rapidly advancing and is a critical component of the energy transition,” Nexus board member Ryan Bisch said in a statement. “Nexus is at the forefront of building and optimizing this type of infrastructure. The company can develop new assets and revitalize existing ones to produce cost-competitive molecules that can reduce or even eliminate harmful greenhouse gasses.”

Nexus PMG said it also develops assets through two separate subsidiaries: Nexus W2V, which focuses on converting organic waste streams into renewable natural gas, compost products, and biochar; and Pathway Energy, which focuses on the production of ultra-low-carbon intensity sustainable aviation fuel by leveraging carbon sequestration. Both subsidiaries are developing greenfield infrastructure assets and expect to commercialize these assets over the next several years.

“Today, as corporations and investors strive to meet near- and long-term sustainability goals, we find that most have existing portfolio assets with a waste component that can be valorized,” Nexus PMG CEO Ben Hubbard said in a statement. “Helping corporates in those waste-to-value asset classes is essential to achieve our larger energy transition goals and now, as an institutionally backed firm, we’re looking forward to expanding our team to meet a growing demand for low-carbon infrastructure subject matter expertise.”

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