These assets, the first of their kind in the UK, will be partially repowered to benefit from Noventa’s proprietary technology to reduce emissions and expand heat generation capacity.  The acquisition supports the company’s plans to expand in the UK and Europe.

The strategic transaction will also enable Scottish Water Horizons, a commercial subsidiary of Scottish Water, to release capital to carry out further investment in renewable technologies.

At the heart of this acquisition is Noventa’s proprietary Wastewater Energy Transfer (WET) System, anchored by HUBER ThermWin technology, which harnesses the thermal energy in wastewater - reducing carbon emissions from heating by more than 70%.

The three heat from waste water schemes currently provide heating to district heat networks owned by Stirling Council and Clyde Gateway as well as a leisure centre owned by Argyll & Bute Council. The energy centres also provide power to wastewater treatment plants owned by Scottish Water in Stirling and Glasgow. The services are provided under long-term heat and power agreements and are delivered through combined heat and power and wastewater energy transfer systems.

Together, these schemes have the potential to generate 33GWh of heat and 15GWh of power annually, the equivalent of heating and powering almost 5,000 and 1,000 average homes respectively across the UK. Under Noventa’s ownership, they will continue to contribute towards Scotland’s national targets for reducing greenhouse gas emissions and strengthen energy resilience in these communities.

Noventa’s acquisition increases its footprint in the UK and follows its appointment of a UK-based team to deploy its decarbonised heating and cooling solutions. The company is currently developing the world’s largest raw WET System at Toronto Western Hospital which will supply up to 90% of the campus’ heating and cooling needs. It is due to be commissioned later this year.

Following the acquisition, Noventa will invest in upgrading the assets with its proprietary systems. These will significantly increase the utilisation of heat from waste water to provide additional renewable heating capacity for customers.

Scottish Water Horizons will continue to work closely with Noventa on the development of future projects, enabling both companies to meet the growing demand for sustainable heating solutions across Scotland.

The acquisition was funded by infrastructure manager Ancala. The firm invested in Noventa in 2023 and is working closely with the management team to pursue its international growth plans and accelerate delivery of Noventa’s significant pipeline of waste water energy projects.

Dennis Fotinos, founder and CEO, Noventa, said: “This acquisition complements our plans to grow our operations across the UK and Europe. It also provides us with a new opportunity to further evidence the transformative impact of our innovative decarbonisation technology. We’re looking forward to helping more organisations deliver on their energy transition journeys while also providing lower cost heating.

“I’m excited to enhance our relationship with Scottish Water Horizons and other partners in the UK as we continue on our mission to decarbonise our world through disruptive innovation.”

Paul Kerr, managing director of Scottish Water Horizons, said: “This sale enables us to accelerate the development of renewable energy technologies, such as heat from wastewater projects, further supporting Scotland’s energy transition.

“We remain deeply committed to Scotland’s low carbon heat market, and our partnership with Noventa ensures these assets will continue to grow, contributing to Scotland’s net-zero goals by providing reliable, low-carbon heating solutions.

“This aligns with our strategy of incubating and divesting at the right time, maximising impact, and reinvesting in projects that protect our environment for future generations.”

Lee Mellor, Partner, Ancala, added: “This is an important milestone in Noventa’s international expansion plans. Ancala is committed to providing Dennis and his team with the capital they need to acquire more complementary sites and fund new developments so that Noventa can provide more customers with industry-leading decarbonised heating and cooling solutions.”

Financial terms of the transaction are undisclosed.

Noventa and Ancala were advised by DLA Piper (legal) and Grant Thornton (accounting and tax).