ALL Fuels & Energy said Feb. 3 in a news release that Valero Renewable Energy rejected $100 million offer for the Renew Energy ethanol plant in Jefferson, Wisconsin, made by its subsidiary, ALL Fuels – Jefferson, LLC.

Valero closed on the plant on Feb. 4.

The $100 million cash price ALL Fuels – Jefferson LLC would pay Valero is $28 million more than the $72 million winning bid made by Valero for the facility, which was confirmed by the bankruptcy court on Dec. 11, 2009.

According to the release, the offer resulted from recent negotiations after ALL Fuels was unsuccessful in overturning bankruptcy court approval of the sale. ALL Fuels claimed that William Blair & Company, LLC and Banker’s Bank had rejected its better offer at the time of the auction for no good reason. ALL Fuels had offered $77 million in the auction.

“The terms of the auction were not followed in good faith,” said Dean Sukowatey, president of ALL Fuels. “Our bid exceeded the successful Valero bid by $5 million, but Bankers Bank, Valero and Wm. Blair unilaterally discounted our offer, in order to terminate the auction and accept Valero’s bid.”

Sukowatey said the company negotiated in good faith and were ready to bid higher, but the auction ended prematurely.

“To purchase Renew Energy, we had no choice but to deal directly with Valero, and bid up the price even before the closing has taken place.”

ALL Fuels offered Valero $82 million cash for Renew on Jan. 19, with Valero countering at $100 million.

According to the release, on Jan. 29, ALL Fuels accepted Valero’s $100 million counteroffer. That same day, at 5:53 PM George Stutzmann, Valero’s vice president of Alternative Energy and Project Development notified ALL Fuels, “We do not have a deal. While we casually discussed the $100 mm numbers as something that might be of interest awhile back, it no longer is and we are now committed to close.”