Morningstar raises Cleanaway's fair-value after EQT deal

Cleanaway Waste Management

Mon 21:45

** Morningstar raises its fair-value estimate for Australia's Cleanaway CWY.AX by 5% to A$2.95 per share after the waste management co entered into a scheme implementation deed with EQT Infrastructure
** The brokerage assumes a 75% probability that the deal goes ahead, from 50% previously
** Morningstar adds that it will revert to its standalone valuation of A$2.50 per share if the deal does not proceed
** On Monday, CWY agreed to be bought by Swedish private equity group EQT EQTAB.ST in a deal that valued the company at A$9.3 billion ($6.48 billion), including debt
** CWY stock rose to its highest in two years on Monday after the company entered into the scheme implementation deed 
** Stock is up nearly 14.7% this year, as of last close

 (Reporting by Tejas Harish in Bengaluru)
 ((tejas.harish@thomsonreuters.com;))