This comes after Veolia offered to sell Suez UK in June after the Competitions and Markets Authority (CMA) ruled that the merger between the two French-owned companies would lessen competition in the UK (see letsrecycle.com story).
During a conference call this morning Estelle Brachlianoff, chief executive of Veolia, said: “We are very satisfied with this transaction, which is being carried out under excellent conditions that once again demonstrate the attractiveness of the environmental services business and the relevance of our proposal for remedies to the CMA.
“It will create significant value and strengthen our investment capacity in strategic markets.”
She added that Veolia will “remain a major player in the waste sector in the United Kingdom and, more broadly, in the environmental services market in the region, which remains strategic for the Group”.
Macquarie will now own 100% of Suez UK’s waste activities if the deal is approved.
The transaction remains subject to the CMA’s approval and to the right of first refusal granted by Veolia to the new Suez at the time the merger was announced in 2021.
The move from Macquarie means it will become a huge player in the UK market if the deal goes ahead, with Suez UK’s revenues exceeding £1 billion alone. Through Beauparc, the asset management fund also owns B&M Waste Services, Acumen and Mid UK Recycling, among others.
Macquarie was previously touted as one of the few interested parties with capabilities to make such a move.
The acquisition of Beauparc alone saw Macquarie gain more than 340,000 residential, commercial, electricity and gas customers across a portfolio of 40 waste facilities, processing more than three million tonnes of waste each year (see letsrecycle.com story).
Macquarie Asset Management is a global asset manager that “aims to deliver positive impact for everyone”. It says its portfolio is worth around €523 billion globally.