Veolia and Séché Environnement have signed a unilateral put agreement in which Séché Environnement has committed to acquire a portion of Veolia’s industrial water treatment services business in France, completing the antitrust remedies required by the European Commission in the context of the Veolia-Suez merger.
The assets are worth around €40 million and will be paid for with Séché Environnement’s available cash flow.
“This agreement marks the implementation of the last portion of the antitrust remedies requested by the European Commission in the context of the merger with Suez. The total value of the disposals now underway is around €920 million. This indicates the outstanding quality of the assets as well as the strong competitive momentum of the French environmental services market,” said Claude Laruelle, Veolia’s Chief Financial Officer.
The assets being sold include a portfolio of contracts with industrial enterprises that generate yearly sales of around €60 million and EBITDA of approximately €4 million.
These contracts cover all aspects of the industrial water cycle (particularly effluent treatment, process water supply, facility management (including waste management), and maintenance operations), allowing the company to provide high-value-added services in the field of delegated water cycle management to industrial companies.
“The acquisition of part of Veolia’s outsourced industrial water management activities in France perfectly complements our industrial effluent management activities and will enhance the outsourcing offer provided by Séché Environnement as part of its Global Offers to leading industrial customers,” said Maxime Séché, Chief Executive Officer of Séché Environnement.
The new firm will provide our Group a significant presence in a recurrent market with high potential.”
The transaction will be carried out in accordance with Veolia’s social obligations and will be fully confirmed by Séché Environnement.
These include, in particular, the guarantee of work and the continuation of social benefits for a four-year term.
It is subject to engagement with Veolia’s employee representative organizations as well as regulatory approvals.
Following the deal, Veolia will continue to be a prominent participant in the European industrial water industry.
Séché Environnement is extending its position in France as a prominent player in providing such services to industrial clients.
About Séché Environnement
Séché Environnement is a market leader in waste management, covering the most complicated and hazardous waste, as well as environmental services, notably in the event of a natural disaster.
Source: Veolia
