EISER buys into Italian waste treatment firm

The €1.1bn infrastructure fund has acquired a 20% stake in Italian waste treatment company Herambiente for €105.6m, with an option to acquire another 5% once the deal closes in September.

EISER Global Infrastructure Fund – formerly known as ABN Amro Global Infrastructure Fund – has acquired a 20 percent stake in Italian waste treatment firm Herambiente.
 
The €1.1 billion fund has spent €105.6 million on the acquisition and has an option to acquire a further 5 percent at the same share price exercisable within three months of the deal’s estimated September closing date. Herambiente has an equity value of €528 million; recorded revenues in 2009 of about €368 million; earnings before interest, tax, depreciation and amortisation (EBITDA) of €148 million; and net income of €28 million.
 
Herambiente is described in a joint statement as Italy’s leader in the urban and special waste treatment sector. It manages 77 plants, including seven waste-to-energy plants, and has an installed capacity for energy recovering of more than 110 megawatts. The company processed five million tons of waste last year.
 
EISER chief executive Hans Meissner noted that “EISER looks forwards to building upon its relationship with [parent company] Hera to further develop its existing infrastructure presence in Italy”. Recently, the infrastructure fund spent €47 million buying into four concessions owned by Spanish construction company Sacyr, signalling the two companies might partner to bid for future projects.
 
Lazard acted as financial adviser to Hera, while Lexjus Sinacta and Dewey & LeBoeuf provided legal counsel. EISER received financial advice from Citi and legal counsel from Latham & Watkins on the deal.