US investor to acquire Wycombe’s Biffa for £1.3bn
Three months after informing shareholders it was likely to accept a £1.4 billion takeover bid by US firm Energy Capital Partners, Wycombe waste management firm Biffa has accepted a £1.3 billion acquisition offer.
A new company under the management of Energy Capital Partners, Bears Bidco, will pay 410p per share for the company.
The company's share price enjoyed a healthy jump in response to the news.
Read more - Biffa close to £1bn takeover by private equity firm Energy Capital Partners
Biffa chairman Ken Lever said: “Whilst being lower than the proposal previously announced on June 7, it is the Biffa board’s view that this offer represents a compelling opportunity, particularly in a weakening economic environment, for shareholders to realise, in cash and with certainty, the potential for future value creation.
“ECP is an experienced investor in environmental infrastructure and sustainability assets and offers a supportive environment to accelerate the group’s further development and growth as a leading enabler of the circular economy.”
Once voted on by shareholders, the deal is likely to go ahead during wither the fourth quarter of 2022 or the first of 2023. The company said the deal represents a 28 per cent premium on its closing price from before the offer was announced on 6 June.
Andrew Gilbert, partner at ECP, said: “ECP is excited to begin this long-term partnership with Biffa and its extremely talented employees and leadership.
“We intend for Biffa to remain focused on providing the high level of service to which its customers have become accustomed and look forward to supporting Biffa’s strategic initiatives, development, growth and industry leadership.”
Read more - Biffa wins best recycling business in Britain
