KKR set to launch £7bn sale of Viridor

The US-based investor bought Viridor from Pennon Group in March 2020 for £4.2 billion, with estimates placing the current value of the group at around £7 billion – including debt.

Potential bidders reportedly include infrastructure investors CK Hutchinson and Equitix.

Equitix currently own a stake in Viridor Energy, a holding company for its energy portfolio which also manages some residual waste contracts.

Viridor’s recent financial performance

Since the 2020 acquisition, Viridor has expanded its EfW operations, invested in carbon capture plans at its Runcorn facility, and increased its role in plastics recycling through its Viridor Polymers division.

However, in 2022/23, Viridor posted a loss of £29.3 million for Viridor Polymers.

This followed a £13 million loss the previous year.

However, the company’s energy portfolio remained in good health with Viridor Energy posting a £30.8 million profit.

The business reported generating revenues of £579.4 million and pre-tax profits of £153.6 million in 2023/24.

Plastics recycling plants closures

Viridor also announced in August 2025 that it would be closing and decommissioning its plastics recycling centre in Rochester, Kent due to “wider market challenges.”

The company previously closed its Avonmouth mechanical polymers recycling plant in November 2024.

Viridor has put consistent investment into increasing its mechanical recycling capability, however recycling rates are below where they were projected to be in 2020.

A Viridor spokesperson said at the time: “Viridor’s UK mechanical recycling operations have been negatively impacted by persistently and increasingly challenging market conditions, and the absence of planned legislation to increase rates of plastic recycling in the UK.”

Despite instability following the announcement of the Viridor Avonmouth closure, the plastics market plateaued at the start of the month with July prices comparable to those of June.

The price of some grades had come down slightly in the last month, which was expected to continue into August.