If SULO was to sell its German waste operation, it would represent a major development in terms of the European waste management sector with the company currently in second position within Germany.
Any sale would also be especially significant in the recycling market as the company markets more than 2 million tonnes of secondary raw materials per annum.
SULO itself is a jointly owned portfolio company owned by investor organisations Apax and Blackstone – it bought Cleanaway from Brambles for 570 million euros in October 2005. In a separate sale Veolia bought Cleanaway in the UK.
Interest
Now, SULO is believed to be attracting interest from other major European waste companies including FCC of Spain and also Veolia of France, both of whom have a substantial UK presence. Neither currently have any major involvement in Germany.
And, other sale arrangements are also thought to be an option, including the continued involvement of private equity funds.
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The SULO group has an annual turnover of approx. 1.2 billion euros and there have been some reports in the German press that the sale of the German division could be worth more than 1 billion euros.
The SULO group employs more than 8,000 people and in Germany it operates from over 200 service locations and nearly 60 treatment and recycling plants. The company is active in more than 10 European countries and in Singapore.
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