Entrepreneur Sir Brian Souter was in line for a multi-million-pound windfall as the owner of Cathay Pacific airline moved to snap up a Scottish bio-diesel firm in a £100 million deal.
Motherwell-based Argent Energy which converts cooking oil, tallow and sewer grease into usable biofuel was bought over by the green investments arm of the global John Swire & Sons group.
The deal was completed for an undisclosed sum but The Courier understands the figure is around £100m.
Sir Brian has had a major stake in Argent since 2009, when he took up what is believed to have been a controlling interest in the firm through his private investment vehicle Souter Investments.
The company opened its rendering facility in 2005 and has been a long-time supplier of biofuel to Stagecoach, the public transport giant Sir Brian co-founded in 1980.
The Argent sale is the third major disposal by Souter Investments this year after the company realised its stake in insurance group esure following its £1.2 billion flotation and also divested its interest in luxury yacht manufacturer Sunseeker when it was taken over by Beijing-based Dalian Wanda in a £320m deal.
Andy Macfie, Souter Investments managing director, said: “We are delighted to have been part of the development of such an innovative company over the last four years.”
Argent employs 70 staff in Scotland and will continue to operate independently, with finance director Jim Boyd, chairman Andy Hunter and managing director Jim Walker a former president of the National Farmers Union Scotland remaining in their roles.
Swire yesterday said it intended to replicate the Argent business model in other parts of the world.
“The investment by John Swire & Sons (Green Investments) Ltd not only underlines the company’s strong market position but the quality of the business and the expertise of our workforce. The opportunity is now there to take Argent’s skills further afield,” Mr Walker said.
“John Swire & Sons Ltd is committed to exploring and investing in innovative and viable green industries,” Barnaby Swire of Argent’s new owners said.
“We are delighted to be acquiring Argent Energy, a company which we believe can grow and prosper not only within the UK but also overseas, in particular in Asian markets with which Swire Group companies are familiar.
“John Swire & Sons Ltd sees in Argent Energy’s employees a mix of attributes and values that are compatible with our own, and look forward to working with them to maximise Argent Energy’s future potential.”