KKR to buy waste management company Viridor for $4.9 billion
- Dan Primack, author ofAxios Pro Rata
Viridor's energy recovery facilities in Runcorn, United Kingdom, in 2019. Photo: Christopher Furlong/Getty Images
KKR agreed to buy Viridor, the waste management unit of British utility Pennon Group for £4.2 billion ($4.9 billion), including assumed debt.
Why it matters: It's the largest post-coronavirus buyout so far. For KKR, comfort came from the fact that Viridor has long-term contracts with government agencies. For Viridor, which reportedly had higher offers from strategics, comfort came from the fact that the deal value isn't subject to the buyer's share price.
The bottom line: "Viridor, which has 1,200 employees, operates recycling, energy-from-waste and landfill facilities, and runs a waste collection service. It has been for sale since September when the company announced a strategic review." — The Financial Times
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