Pennon Group Subsidiary Acquires London Recycling Ltd.

Viridor Waste Management, a subsidiary of Pennon Group Plc, has acquired the independent resource management company, London Recycling Limited, for £11 million (US$18 million). The acquisition is in line with the Group's strategy of expanding its waste management activities.

London Recycling Ltd., headquartered in London, England, consists of a full range of recycling operations, including a fleet of collection vehicles, a waste electrical and electronic equipment facility, paper processing, confidential destruction, a materials recycling facility and a waste auditing facility. It handles about 50,000 metric tons of material a year. 

Colin Drummond, Viridor’s chief executive, said, "The UK's waste strategies demand ever-increasing levels of recycling. London Recycling has had an excellent track record over recent years in providing essential recycling services to businesses in the Capital. Its innovative and professional approach will fit very well with the Viridor culture. The acquisition has an excellent geographic and business fit with our operations in the South East of England and is expected to be earnings enhancing before amortization of intangibles in its first full year."