25 October 2002
Pennon Group Plc announces that its subsidiary, Viridor Waste Limited, has acquired Parkwood Holdings Limited the landfill, recycling and liquid waste treatment group, for a cash consideration of £20.6 million. The acquisition is in line with the Group's strategy of expanding its waste management activities, particularly in the areas of treatment and disposal.
Parkwood operates in Sheffield and has consented landfill capacity of 4 million cubic metres which brings Viridor Waste's total consented capacity to 78 million cubic metres. It also has recycling and transfer station operations along with an associated collection fleet. In addition, it has a purpose built liquid waste treatment plant which is expected to benefit as liquid wastes are diverted from landfill under the recently introduced Landfill Directive. It links with Viridor Waste's existing activities at Erin landfill some 20 miles to the South. The acquisition is expected to be earnings enhancing in the first full year.
Commenting on the acquisition Colin Drummond, Chief Executive of Viridor Waste said, "This acquisition fits well with Viridor's strategy of building our landfill business whilst at the same time expanding into areas of waste treatment which are expected to grow as a result of the Government's new Waste Strategy."
For further information please contact: Colin Drummond, Chief Executive, Viridor Waste Limited on 01823 721435 Communications department on 01392 443020