July 17, 2019
Translink Corporate Finance announces the sale by Energipole of a majority stake in Dolphin Coast Landfill Management (“DCLM”), the largest high hazardous waste operation in the Southern hemisphere, to Veolia. The site is located in KwaDukuza, South Africa.
Translink acted as the exclusive financial advisor to DCLM’s majority shareholder, the Belgium-based Energipole Group, involved in environmental solutions and real estate.
Through this acquisition, Veolia takes control of a strategic asset in high added value waste management and expands its presence on the African continent and South Africa.
Information about Veolia
Veolia is a global leader in optimized resource management. With nearly 171,000 employees worldwide, the Group designs and provides water, waste and energy management solutions that contribute to the sustainable development of communities and industries. Through its three complementary business activities, Veolia helps to develop access to resources, preserve available resources, and to replenish them.
In 2018, Veolia recorded consolidated revenue of €25.91 billion. It supplied 95 million people with drinking water and 63 million people with wastewater services, produced nearly 56 million megawatt hours of energy and converted 49 million metric tons of waste into new materials and energy.
Information about DCLM
With a storage capacity of 20 million m³, DCLM is the largest hazardous waste operation in South Africa and the Southern hemisphere. Strategically located close to Richards Bay port and the industrial zone of Durban, the DCLM site has a permitted area of 50 hectares for a total site area of 145 hectares, with a remaining operation life of +50 years.
Acquired in 2006 by Energipole as a standard domestic and general waste facility, the operation was granted in 2013 a class A (H:H) license for the treatment and management of highly hazardous waste. Under the management of the Energipole Group, the site has grown to become the reference and best-in-class hazardous waste operation in South Africa. The company generated revenue of ZAR 232M (circa €15 M) in 2018 and operates as a proud BEE level 1 contributor.
Information about Energipole
Founded in 1998 by Alain Mallart, Energipole is a group of companies active in environmental solutions and real estate. It has assets across Africa, the Indian ocean, Canada, the Caribbean zone, France and Benelux.
Energipole is headquartered in Belgium.
Françoise Macq, CEO of Energipole comments:
“Cross border transactions are often complex. It was the case for this sale process with the target located in South Africa, the Seller in Belgium and the Buyer in France. Thanks to the high degree of expertise and the valuable advice and assistance of Translink, we were able to complete this transaction on good terms. We highly appreciated the quality of Translink’s network and its professionalism.”
Lina Ismail, Partner of Translink Belgium comments:
“We are very pleased that we were able to ensure a great successor for our client through this transaction. With Veolia, the world reference group in waste management, we have brought a long-term strategic partner for DCLM who will take the company to the next level.
By taking control of DCLM, Veolia, on its side, achieves a significant milestone in its goal to be the leading player in water, waste and resource management in Africa.
Along this transaction process, we have faced some challenges but the professionalism and motivation of all parties have been outstanding. I’m confident that, under the control of its new owner, DCLM lies in safe hands and will develop its full potential.”
Michael Anderson, Partner of Translink South Africa comments:
“This transaction was the perfect example of Translink’s strength and added value. With our offices in Belgium and South Africa, we were able to provide our client with the local knowledge, assistance and network of contacts needed to successfully achieve such transaction.”
Contact our Team Members advising in this transaction:
Translink South Africa is based in beautiful Cape Town. Our partners have executed deals in more than 9 African countries and we cover the entire sub Saharan Africa. Transactions in Africa can be challenging, and our deep local knowledge of cultural nuances and local business dynamics assists our clients to achieve a common understanding with targets and buyers. We help our clients navigate the often intricate corporate social responsibility aspects of transactions, such as Black Economic Empowerment, which are is an important consideration in Africa. South Africa is Africa’s economic powerhouse and for many of our multinational clients serve as a platform for further expansion in Africa with its massive untapped youth market and growing middle class. We have particular expertise in the Mining, Industrial, ITC, Logistics, Chemical, Pharmaceutical and Agricultural sectors.
Michael
Anderson
Partner
manderson@translinkcf.com
Based in Amsterdam and Brussels, we act as exclusive partners of Translink in the Benelux. We are one of the leading M&A boutiques in the Benelux mid-market segment due to the extensive international reach of Translink. We offer companies, private owners and PE funds a wide range of corporate finance services, including advising on domestic and cross-border M&A transactions, equity and debt raisings, and valuations.
