Tuesday, 28th March, 2017
Cory Environmental sells collection business to Biffa Waste Services
Cory Environmental Group ("Cory"), one of the UK’s leading resource management, recycling and energy recovery companies and currently majority controlled by funds managed by Strategic Value Partners LLC (“SVPGlobal”), with other investors including EQT Services (UK) Limited (“EQT Credit II”) and Commerzbank, announces today the sale of its collection business ("Cory Environmental Municipal Services Limited" or "CEMS") to Biffa Waste Services Limited ("Biffa"), for an enterprise value of £23 million, delivered as consideration of £13.5 million and an additional cash release to Cory of £1.8 million.
This sale is a result of a strategic review launched by Cory’s Board which concluded that the CEMS business was no longer core to Cory and that the long term future of CEMS would therefore best be secured under new ownership. The strength and quality of the CEMS business has been demonstrated by the high level of interest from bidders.
Biffa has extensive experience in the sector with a large portfolio of collection contracts that align well with the CEMS geographic footprint and services. The transaction came into effect on 08 June 2016.
Nicholas Pollard, Cory’s Group CEO commented:
“This transaction follows directly from our strategic review. It will simplify our Group structure, enabling us to invest substantially and develop our core business of providing and operating infrastructure for waste management, materials recycling, waste disposal and energy generation – in particular at our Riverside facility, one of the UK’s largest, cleanest and most efficient Energy from Waste plants. Biffa are a natural owner for CEMS and we wish the business every success for the future.”
Cory were advised by Pinsent Masons and EY Corporate Finance.
ENDS
Notes to Editors:
About Cory Environmental Group
Cory Environmental Group (“Cory”) is currently majority owned by funds advised or managed by Strategic Value Partners LLC or its affiliates. The business is well known and recognisable for its trademark Riverside infrastructure, comprising a large fleet of tugs and barges which sustainably transport over 500,000 tonnes of London’s municipal and commercial waste every year to their energy from waste (EfW) facility, producing electricity and recycled construction materials directly from the waste stream.
About Strategic Value Partners LLC
SVPGlobal was founded in 2001 by Victor Khosla. With approximately $4.2 billion in assets under management, SVPGlobal is a leading global investment firm with primary offices in Greenwich (CT), London, Frankfurt and Tokyo, focused on deep value investments. SVPGlobal seeks to create value in its investments through its substantial industry, restructuring and operating experience.
About EQT and EQT Credit
EQT is a leading global private equity group with approximately EUR 30 billion in raised capital. EQT has portfolio companies in Europe, Asia and the US with total sales of more than EUR 15 billion and 100,000 employees. EQT Credit II forms part of the EQT Credit platform which spans the full risk-reward spectrum and is currently investing through three strategies: Senior Debt, Mid-Market Credit and Credit Opportunities.
For media enquiries please contact Headland Consultancy.
Telephone: 020 3805 4822
Email: coryenergy@headlandconsultancy.com
Cory Environmental Group ("Cory"), one of the UK’s leading resource management, recycling and energy recovery companies and currently majority controlled by funds managed by Strategic Value Partners LLC (“SVPGlobal”), with other investors including EQT Services (UK) Limited (“EQT Credit II”) and Commerzbank, announces today the sale of its collection business ("Cory Environmental Municipal Services Limited" or "CEMS") to Biffa Waste Services Limited ("Biffa"), for an enterprise value of £23 million, delivered as consideration of £13.5 million and an additional cash release to Cory of £1.8 million.
This sale is a result of a strategic review launched by Cory’s Board which concluded that the CEMS business was no longer core to Cory and that the long term future of CEMS would therefore best be secured under new ownership. The strength and quality of the CEMS business has been demonstrated by the high level of interest from bidders.
Biffa has extensive experience in the sector with a large portfolio of collection contracts that align well with the CEMS geographic footprint and services. The transaction came into effect on 08 June 2016.
Nicholas Pollard, Cory’s Group CEO commented:
“This transaction follows directly from our strategic review. It will simplify our Group structure, enabling us to invest substantially and develop our core business of providing and operating infrastructure for waste management, materials recycling, waste disposal and energy generation – in particular at our Riverside facility, one of the UK’s largest, cleanest and most efficient Energy from Waste plants. Biffa are a natural owner for CEMS and we wish the business every success for the future.”
Cory were advised by Pinsent Masons and EY Corporate Finance.
Notes to Editors:
About Cory Environmental Group
Cory Environmental Group (“Cory”) is currently majority owned by funds advised or managed by Strategic Value Partners LLC or its affiliates. The business is well known and recognisable for its trademark Riverside infrastructure, comprising a large fleet of tugs and barges which sustainably transport over 500,000 tonnes of London’s municipal and commercial waste every year to their energy from waste (EfW) facility, producing electricity and recycled construction materials directly from the waste stream.
About Strategic Value Partners LLC
SVPGlobal was founded in 2001 by Victor Khosla. With approximately $4.2 billion in assets under management, SVPGlobal is a leading global investment firm with primary offices in Greenwich (CT), London, Frankfurt and Tokyo, focused on deep value investments. SVPGlobal seeks to create value in its investments through its substantial industry, restructuring and operating experience.
About EQT and EQT Credit
EQT is a leading global private equity group with approximately EUR 30 billion in raised capital. EQT has portfolio companies in Europe, Asia and the US with total sales of more than EUR 15 billion and 100,000 employees. EQT Credit II forms part of the EQT Credit platform which spans the full risk-reward spectrum and is currently investing through three strategies: Senior Debt, Mid-Market Credit and Credit Opportunities.
The strength and quality of the CEMS business has been demonstrated by the high level of interest from bidders.