UK waste management firm, Viridor, has reportedly hired investment bank, UBS, to sell its waste and recycling subsidiary, according to Reuters news agency sources.
Viridor, bought by KKR from British water utility Pennon for £4.2 billion pounds in March this year (2020), is reportedly looking to ‘simplify’ its portfolio; and will sound out market interest in the next few weeks, the sources said.
Circular Online contacted Viridor, but it declined to comment.
In September last year (2019), former owners, Pennon, announced a strategic review of Viridor, which led to the sale of the business.
Upon the completion of sale to KKR, Phil Piddington, who has been Viridor’s Managing Director since 2016, assumed the role of Chief Executive Officer.
He said KKR recognised the ‘strategic value of Viridor’s UK recycling and residual waste management platform and growth opportunities linked to a significant UK capacity gap in recycling/reprocessing infrastructure and energy recovery technology’.
In 2019, Viridor overtook SUEZ to become the third-largest waste operator in the UK, with an impressive 8.1% revenue jump, according to market analysts Headpoint in a Circular review of M&A activity in the waste sector.