Focus: Carbon Finance, Air Quality, Energy
Efficiency
Description of business:
Merzbach provides advice and carbon finance solutions. The firm specializes in monetizing the value of greenhouse gas emission reductions
such as CO2, CH4, HFC23, N20 etc. Merzbach carbon finance solutions are used to implement capital investments in clean energy,
waste management and biomass assets that reduce emissions of greenhouse gases. Such reductions generate market-tradable credits
under new environmental regulations for use in countries that have put in force an appropriate regulatory regime,
e.g. the Kyoto Protocol, the EU ETS.
Merzbach has developed three lines of business: Co-financing,
leveraging an existing network of financial institutions familiar with Merzbach work.
Merzbach obtains arranging fees and other revenues specific to Merzbach carbon finance solutions; MMF1, a private mezzanine fund providing long-term financing based on the value of Emission Reduction Purchase
Agreements. MMF1 has been developed in cooperation with the World Bank Carbon Finance Business; and Advisory, targeting the early development of carbon finance opportunities, as well as the structuring of synthetic
assets with enhanced tradable features. Clients are companies that implement GHG emissions reduction projects in capital constrained
regions.
Merzbach carbon finance solutions have a unique financial structure. The
Merzbach team has an extensive track record relevant to achieving Merzbach goals, and each of its partners has over 15 years
of experience in their respective discipline.