Biffa acquires Viridor assets

Biffa, a waste management company in High Wycombe, United Kingdom, has announced the acquisition of the collections business and certain recycling assets of U.K.-based Viridor Waste Management Ltd. for 126 million pounds (or about $154.3 million).

According to a news release from Biffa, the transaction marks another step forward in the company’s growth strategy for the U.K. circular economy, representing a unique opportunity to acquire a nationwide collection and recycling portfolio. 

“The acquisition of Viridor’s collections business and certain recycling assets is a compelling opportunity for Biffa,” says Michael Topham, chief executive of Biffa. “The addition of Viridor’s 85 million pounds [worth of] collections revenues builds on the group’s strong track record as the leading market consolidator in the highly fragmented I&C (industrial and commercial) collections market. In addition, the acquired recycling and treatment assets broaden our coverage and control of materials, strengthening Biffa’s position as one of the largest recyclers of postconsumer materials in the U.K.”

Once the deal is completed, Biffa will acquire Viridor’s network of 15 I&C depots for business waste, expanding its low-carbon collections business and bringing an additional 21,000 customers into the group’s portfolio. 

Additionally, this improves the group’s position to meet upcoming regulatory changes to collections services, including compulsory recycling and food waste, underpinned by evolving government policy, according to Biffa.

The transaction also enables Biffa to extend its capabilities across its specialist services and resources and energy operations. The acquisition adds eight recycling assets and increases its capabilities in wastewater collection and treatment. It also secures Biffa’s long-term supply of 22,000 metric tons of plastics feedstock per annum for its polymers business. The company says this is in line with its strategy to quadruple plastic recycling capacity by 2030.

The news release states this acquisition also demonstrates Biffa’s commitment to its sustainability strategy, ‘Resourceful Responsible,’ which the group launched in March 2020. The company says the acquisition improves its capability to support its customers increase their recycling rates through the flexibility of coverage and service. Increased route density across its collections fleet will also reduce fleet carbon emissions in line with the group’s commitments.