News
Van Gansewinkel to acquire Belgium solid waste management activities from Veolia
15 June 2011
Van Gansewinkel Groep (a waste service provider and supplier of raw materials and energy) has signed an agreement with Veolia Environmental Services in view of buying their solid waste management activities. The finalization of the deal is subject to the approval of the regulatory authorities. This represents an important step in the implementation of the growth strategy that was announced recently. With approximately 450 employees and 140 vehicles, this generates a turnover of almost € 100 million.
The operation is being financed with funds from shareholders CVC Capital Partners and KKR.
Ruud Sondag, chairman of the board of directors and CEO of Van Gansewinkel Groep: “This operation ties in perfectly with our strategy, which aims amongst other things to strengthen our position in the Benelux countries. By taking this major step together with our shareholders we have now definitely started out on the road to growth. The acquisition will further strengthen our balance sheet position.”
Veolia’s solid waste operations spread nationally on the entire waste management chain with approximately 13,000 customers. It is complementary to Van Gansewinkel Belgium and enjoys a strong market position in Wallonia, Limburg and the Brussels region. These activities were acquired from Biffa by Veolia Environmental Services in 2006. Since that date financial results have improved considerably. This operation will have an immediate and positive effect on the operating result and the operational cash flow of Van Gansewinkel Groep.
Ambitions for growth
The concerned activities include nine sites with a landfill site in Waals-Brabant. The sites (collection, processing and recycling) are to be integrated into the three regions of Van Gansewinkel in Belgium. The landfill site will become part of A&G, a part of Van Gansewinkel Groep. A&G has two landfill sites in the Netherlands and specializes in soil decontamination and remediation. The company converts the waste materials that are released from this process into secondary building materials.
Wouter Dewulf, director of Van Gansewinkel Belgium, France, Luxembourg: “This operation brings together two players on the Belgian waste and environmental management market. Together we want to give as much waste as possible a second life in the form of raw materials. The activities of the two parties complement each other and the companies also complement one another in a geographical sense, which will increase efficiency that will benefit customers. In Belgium we are now well positioned to achieve further growth.”
Partly due to the growth ambitions of Van Gansewinkel in Belgium, it is not expected that the operation will affect jobs in the operational organization. The company aims to carry out the integration process quickly and effectively.
As a result of the operation, Van Gansewinkel in Belgium will have approximately 1,600 employees who generate annual revenues of approximately € 314 million. In 2010 turnover generated by Van Gansewinkel Groep in Belgium amounted to € 218 million, almost 20% of the total turnover for Van Gansewinkel Groep.
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Figures for 2010
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Van Gansewinkel Belgium
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Veolia Belgium
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Turnover*
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218
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96
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1,150
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450
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Number of employees
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1,286
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700
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Volume collected (kT)
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* € in millions
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Van Gansewinkel Groep is active in Belgium in the entire waste chain: Van Gansewinkel specializes in the collection and processing of waste, and Coolrec and Maltha recycle domestic appliances and glass respectively. The group also holds a 15% share in Uvelia's waste energy centre in Wallonia.