UK recycling firm Viridor is set to be sold to American company Kolhberg Kravis Roberts & Co (KKR) in a deal worth £4.2 billion.
Viridor’s parent company, Pennon Group, announced the sale. The group’s chief executive, Chris Loughlin, said, “Following a detailed review of the Group’s strategic options, we are pleased to announce the proposed sale of Viridor for an Enterprise Value of £4.2 billion. The transaction is great news for shareholders as it recognises the strategic value that Pennon has developed and nurtured in Viridor over many years and accelerates the realisation of that value for shareholders.
“On completion of the transaction, Pennon will continue to focus on its sector-leading water and wastewater businesses and will consider further growth opportunities that create value for customers, employees and shareholders.”
Viridor has three sites in Scotland, situated in Glasgow, Edinburgh and Perth. Across all its sites in the UK, over 3,000 people are employed and 150 local authorities are worked for – with the firm saying it has 32,000 customers in total. Viridor currently has the UK’s largest network of advanced recycling, energy recovery and landfill diversion facilities with a waste collection service of over 600 vehicles.