Ferrovial has reached an agreement for the sale of its environmental business in Spain and Portugal to Prezero, a company of the Schwarz Group, operation that occurs within the framework of the Disinvestment process of Ferrovial Services. The transaction, which includes the transfer of the business of the environment and collection, treatment and recycling of waste, has been made by an upright of 1,133 million euros, which includes capital and debt. The sale will produce a surplus value of around 317 million euros, assuming an equity value of 950 million euros at the time of signature, which could vary slightly by accounting adjustments between the signature and the closure of the operation.
The final closure of the transaction is pending of the usual conditions and regulatory permits by the European authorities and is expected to take place in the second half of 2021, as reported by the company in a statement.
The area of the Ferrovial Environment reported annual sales of 1,018 million euros in 2020, a gross operating result of 130 million euros (including dividends) and its portfolio reached 2,177 million euros at the end of the year. The company has a template of 16,000 employees. It offers essential treatment and recycling services for public and private clients, through the management of 140 floors where it processes 5.6 million tons of waste each year. In addition, it performs the road cleaning, selective collection and maintenance of green areas in more than 600 municipalities throughout Spain for more than 15 million citizens
Prezero, belonging to the Schwarz Group, is an international environmental service provider with some 13,000 employees and about 280 locations in Europe and North America.
"This operation implies an advance of the Ferrovial Strategic Plan, focused on the development of sustainable infrastructures. New technologies, changes in citizens' habits and social demands make this approach necessary to continue creating value for our shareholders, groups of Interest of the company and the communities in which we operate. We are pleased to leave our environmental services business in Spain and Portugal in the hands of Prezero, an international company in waste management with the highest ESG standards, "according to Ignati Madrid, Ferrovial CEO.
"The predicted acquisition is the next step in the expansion of prezero, with it we want to extend our activities in southern Europe. Ferrovial is an excellently well positioned company in the field of environmental management and ideally complements the precender portfolio. In this Process, we anticipate valuable synergies and an additional starting point for further development of the circular economy in Europe, "Thomas Kyriakis explained, CEO of Prezero.
Ferrovial conducted a strategic review of all businesses, aimed at focusing the company's future in infrastructures, first source of value and profitability for its shareholders. As a result of this decision, it classified as "available for sale" all its operations operations.
In this same direction, the Company adopted the Horizon 24 Plan, a strategy for the period 2020-2024 that places the priority focus of Ferrovial in the promotion, construction and management of infrastructures, together with businesses in mobility, water and electrification. The plan pursues a profitability based on annual growths of 11% of EBITDA with a decided approach to excellence, sustainability, innovation, efficiency and selection of businesses and markets.
The sale of the environment business in Spain and Portugal is a new step forward in the Disinvestment process of Ferrovial Services, after the sale of Broadspectrum, with operations in Australia and New Zealand, last June 20, 2020. Disinvestment in The rest of the business of Ferrovial Services continues its course in the United Kingdom, Spain, Chile and the United States, main markets where the company has activities in this business.Date Of Update: 27 July 2021, 04:09