UK-based waste-to-product company Shanks Group has completed a €482 million merger with Benelux recycling company Van Gansewinkel Groep (VGG) to form Renewi.
The deal was structured on a debt-free, cash-free basis, satisfied through a payment of approximately €286 million in cash and the issue of up to 190 million new consideration shares, representing up to approximately 23.8% of the enlarged issued share capital of Shanks.
The cash element was financed though new debt facilities and an equity issue of approximately £141 million (a firm placing and a rights issue).
Upon completion, Renewi's ordinary shares were also readmitted to the premium listing segment of the Official List and to trading on the LSE's main market for listed securities.
The combined entity has more than 8,000 employees across nine countries in Europe and North America.
ING Bank, Greenhill and Investec provided financial advice to Shanks, with Lazard and KPMG acting for VGG.