4 November 2024

Evolution in ECO's governance

Séché Environnement et CVC DIF, branche infrastructure du gestionnaire leader des marchés privés mondiaux CVC, ont conclu un accord définitif aux termes duquel CVC DIF détiendra 49,9% du capital d'ECO à la suite d'une augmentation de capital réservée d'environ SGD 311 millions (environ 216 millions d’euros ).
L'entrée de CVC DIF au capital d'ECO traduit la volonté de Séché Environnement d'associer au développement de sa filiale singapourienne un partenaire financier de long terme, déjà fortement investi localement.
Cette opération permet à ECO de disposer de moyens financiers importants pour accélérer son développement sur le marché porteur des déchets industriels de Singapour et, plus largement, des pays voisins de l’Asie du Sud- Est.

On November the 1^st 2024, Séché Environnement and CVC DIF have signed a definitive agreement enabling CVC DIF to acquire 49.9% of ECO’s capital.

ECO serves a distinguished clientele of leading industrial companies, offering the broadest array of hazardous waste management services in Singapore.

The transaction will be completed in the coming weeks. Following this transaction, ECO will continue to be fully consolidated by Séché Environnement.

CVC DIF is a leading global mid-market infrastructure equity fund manager with c.€18 billion of infrastructure assets under management across the utilities, energy transition, transport and digitalization sectors.

Gijs Voskuyl, Managing Partner at CVC DIF, said: “ECO’s leading market position, their longstanding and diversified client relationships and the high barriers to entry in the sector make this an interesting investment for DIF Infrastructure VII. Moreover, this investment marks the first investment of CVC DIF in Southeast Asia, on the back of CVC DIF’s global sector relationships and CVC’s widespread local office network in the region. We are delighted to partner with Séché Environnement, a market leader in hazardous waste. Together with Séché Environnement and ECO’s Singapore based management team, we are well-positioned to drive ECO’s growth as a leader in sustainable infrastructure in the region.”

Alvin Lim, Senior Managing Director at CVC Asia, added: “This acquisition is a pivotal entry point for CVC DIF in Asia. With CVC DIF’s infrastructure sector expertise and CVC Asia’s strong local presence, we are excited to support ECO’s management team, in partnership with Séché Environnement, to further drive ECO’s growth initiatives”

Séché Environnement acquired 100% of ECO’s capital on July 18, 2024 for SGD 608 million.

With sales of around €66 million in 2023, ECO is the market leader in hazardous industrial waste in Singapore, with the widest range of products and services, a loyal clientele of top-tier industrial companies, and recent, high-performance industrial facilities.

Thanks to ECO, Séché Environnement now occupies a major position at the heart of the dynamic hazardous industrial waste markets of Southeast Asia, where the Group was previously not present in.

Benefiting from a particularly solid financial profile, characterized by high operating margins, robust free cash flow generation and limited net financial debt, this capital increase gives ECO significantly enhanced financial capacity to accelerate its growth.

Maxime Séché, Chief Executive Officer of Séché Environnement, commented: “We are delighted that CVC DIF, a leading investor in the infrastructure sector, has joined us in the capital of ECO. This new governance structure reflects our desire to support ECO’s growth with a long-term financial partner. CVC DIF and Séché Environnement share an ambitious industrial plan for ECO, and the pooling of our industrial and financial skills is an additional asset for the success of ECO’s growth strategy in Southeast Asia.”