Greenstar Acquires Verdant

Greenstar UK, based in Ireland, has acquired UK-based Verdant Group Plc. Greenstar, which recently created a North American division called Greenstar North America, has been on an acquisition binge lately. Last month the company’s North American division acquired Todd Heller, Mid America Recycling Co., Delta Management Group, and Recycle Management Co.

Verdant’s business focuses on providing refuse collection, recycling and other associated services under long term contracts to 19 UK authorities. Verdant also provides a trade waste and recycling collection service to businesses in the South/South East. The company operates from 33 sites and collects more than 100,000 metric tons of recyclables a year.

The acquisition of Verdant will significantly extend the scale of Greenstar UK’s activities, with forecast revenue of £121m, managing over 270,000 tons of material per annum, operating from 38 facilities throughout the UK.

Commenting on the acquisition, Ian Wakelin, managing director of Greenstar UK, said: "This is a significant acquisition for Greenstar UK and strongly supports our strategic objective of becoming the leading recycling led waste management company in the UK through the development of a nationwide footprint of recycling and reprocessing facilities. The municipal waste management market is valued at approximately £1.6 billion (US$3.3 billion), of which some 40 percent is outsourced to the private sector. The combination of Verdant’s strength in municipal collection and Greenstar’s processing capabilities puts us in a unique position to compete in this market, providing the municipal market with a company that has strength in both collection and reprocessing of recyclables."

"In addition, with expected growth in the volume and value of the commercial waste market through increasing levels of recycling, we believe there is a significant opportunity to offer fully integrated waste management solutions to the business sector. The acquisition will also provide us with the opportunity for substantial growth through Verdant’s commercial waste division," Wakelin concluded.