A statement from Cleanaway said: “This combination brings together an unrivalled mix of experience and expertise across a range of public services to offer customers a total service solution.”
Serviceteam is a large player in the public sector, with several key refuse collection contracts. Cleanaway said this “leading experience in public service delivery” complements Cleanaway’s existing municipal and commercial/industrial collection and recycling operations, enabling it to address the changing needs of local authority markets.
The sum paid by Cleanaway has not been revealed, although city sources suggest that a portion of the consideration involved may have been agreed on a future earnings basis.
Gerben Westra, chief executive officer for Cleanaway Europe said:
“This is a critical time for local authorities. Government initiatives such as Best Value and the Waste Strategy 2000 emphasise the need for continual improvement in the delivery of their services. This strategic development is a response to that challenge and builds on the experience and skills of two market-leading companies. By utilising our respective strengths we can develop solutions that will enable our customers to meet their environmental and financial targets.”
Paul Nolan, Managing Director of Serviceteam, said:
“This is a great opportunity for both Serviceteam and Cleanaway. Not only does it create a larger and more flexible organisation but the natural fit between the two companies means there will be a seamless transition. The ultimate beneficiaries will be our customers who will see the emergence of innovative services especially in the challenging area of waste management and recycling.”
Serviceteam has been sold by the support services sector team of Europe’s leading venture capital company 3i.
Stephen Keating, Investment Director at 3i said “We backed the original Management Buy Out of Serviceteam and also introduced Paul Nolan into the business. We are delighted to see Serviceteam going from strength to strength under the new ownership”
Cleanaway Europe is one of the major waste management companies in Europe employing over 5,500 people and operating from over 200 locations. Within the UK the company employs 2,500 people collecting over two million tonnes of dry waste and 300,000 tonnes of liquid waste annually.
In contrast, Serviceteam has been purely UK focussed, providing services to more than 80 local authorities. It employs a staff of 5,000. Part of its range of work includes emptying 1.5 million dustbins each week, the company said.
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