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TOX - Tox Free Solutions News Story

A$3.42 0.0  0.0%

Last Trade - 11/05/18

Micro Cap
Market Cap £n/a
Enterprise Value £n/a
Revenue £286.1m
Position in Universe th / 1908

UPDATE 1-Australia's Cleanaway Waste Management to buy rival Tox Free Solutions

Sun 10th December, 2017 10:44pm
(Adds quote from Cleanaway CEO, details on funding of deal) 
    Dec 11 (Reuters) - Cleanaway Waste Management  CWY.AX  said 
on Monday it would buy smaller rival Tox Free Solutions  TOX.AX  
for A$3.425 per share in cash, valuing Tox at A$671 million 
($503.72 million) on a diluted basis.  
    The Cleanaway offer is at a 20.6 percent premium to Tox's 
closing level on Friday of A$2.84.  
    Under the deal, Tox shareholders will be entitled to receive 
an interim dividend of A$0.05 per share in fiscal 2018, and Tox 
expects to declare and pay a fully franked special dividend on 
or shortly before the implementation of the deal. 
    In a separate statement, directors of Tox said they 
unanimously recommended that shareholders vote in favour of the 
Cleanaway offer. 
    "The transaction is expected to deliver approximately A$35 
million in annual synergies and be strongly accretive for 
earnings per share and free cash flow per share when integration 
is complete," said Cleanaway Chief Executive Officer and 
Managing Director Vik Bansal. 
   To fund the acquisition, Cleanaway said it would launch an 
A$590 million entitlement offer, offering one new share for 
every 3.65 existing shares held, at A$1.35 per new share. 
($1 = 1.3321 Australian dollars) 
 (Reporting by Susan Mathew in Bengaluru; Editing by Peter 
 ((; +91-80-6749-1130; Reuters 
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