Macquarie Capital and Macquarie Commodities and Financial Markets have reached financial close on £900 million of funding for a 299MW biomass-fuelled combined heat and power (CHP) plant on Teesside.

Developed by MGT Power, Tees REP is claimed to be the world’s largest new-build biomass plant. Construction is due to start imminently and be completed by 2020.

Macquarie will own 50% of the equity in the project, with Macquarie Capital introducing Danish pension fund PKA as an equity co-investor and partner who will own the remaining 50% stake.