Renewi announces sale of UK Municipal business to Biffa.
The Dutch-Belgian recycling group Renewi sells its structurally loss-making household waste activities in the United Kingdom to Biffa, a company for integrated waste management throughout the United Kingdom
UK Municipal will receive additional capital from Renewi to meet future obligations. For this, Renewi will pay a nominal fee of 146 million euros to Biffa. The transaction will be financed with the existing revolving credit facility. An additional 120 million euros bridging facility is also being used.
Renewi CEO Otto de Bont said: “The sale of UK Municipal to Biffa is a groundbreaking milestone that marks the start of a new chapter for Renewi. UK Municipal's departure will immediately improve our cash flow and profit margins and enable us to drive sustainable growth.”
