Dutch waste management group Attero attracts several Chinese suitors - sources

Beijing Enterprises Holdings

01/11/2016 13:45

By Arno Schuetze and Toby Sterling 
    FRANKFURT/AMSTERDAM, Nov 1 (Reuters) - Dutch waste 
management group Attero has attracted several Chinese suitors, 
several people close to the deal said, the latest sign of 
China's efforts to buy technology to tackle environmental 
issues. 
    Beijing Enterprises  0392.HK , which bought Germany's Energy 
from Waste (EEW) earlier this year, is using the German company 
as a vehicle to buy Attero, the people said.  urn:newsml:reuters.com:*:nWNBS0208L 
    Beijing Capital  600008.SS , which had lost out in the EEW 
auction, is among the groups preparing bids by a November 21 
deadline, along with China Energy Conservation & Environmental 
Protection Group (CECEP), the people said. 
    Private equity group Waterland, which owns Attero, is 
expecting to receive about 5-6 offers before shortlisting some 
of those for a final round, they said.  
    Current bids range from 750 million euros ($826.65 million) 
to 1.05 billion euros, including debt, sources said. They said 
most fell between the 850 million to 1 billion euro range, or 
about 8-10 times the company's estimated 2016 earnings before 
interest, taxes, depreciation and amortization (EBITDA) of 
around 100 million euros. 
    Waterland bought Attero for 170 million euros in 2013 and 
decided on a faster-than-planned exit this summer after 
receiving inquiries from several would-be acquirers following 
the sale of Germany's Energy from Waste which generated a lot of 
interest  urn:newsml:reuters.com:*:nL8N1A015M. 
    Dutch newspaper Het Financieele Dagblad reported last month 
that Chinese insurer Ping An  2318.HK  was also interested. But 
sources could not confirm if it was in the running. 
    Attero processes 40 percent of Dutch household waste and 
describes itself as a leading player in creating energy from 
waste. 
    Waterland, Attero, EEW and the Chinese companies declined to 
comment or were not immediately available for comment.  
    China has set a target to spend about $16 billion between 
2013 and 2016 to improve sewage disposal and waste treatment. 
    Attero last year posted earnings before interest, taxes, 
depreciation and amortisation of 133 million euros on sales of 
339 million euros.  
 
 
($1 = 0.9073 euros) 
 
 (Reporting by Toby Sterling and Arno Schuetze. Editing by Jane 
Merriman) 
 ((toby.sterling@thomsonreuters.com; +31 20 504 5002;)) 
 
Keywords: WATERLAND ATTERO/M&A CHINA