Cleanaway acquires Toxfree Solutions

Company News

by Kathy Skantzos

Waste management company Cleanaway (ASX:CWY) has acquired all of the shares in national waste management provider Toxfree Solutions (ASX:TOX) for $831 million.

The acquisition will be funded through a fully underwritten entitlement offer of $590 million.

Cleanaway said the strategic acquisition will strengthen the company’s existing operating segments and further improve operating leverage.

The Toxfree business is expected to deliver approximately $35 million in annual synergies over a two year integration period, with total benefits to be reflected in FY21.

Shares in Cleanaway (ASX:CWY) closed flat at $1.47.

Kathy Skantzos

Finance News Network
Kathy presents the Market Outlook and ASX company news. She joined FNN in September 2017. She has been in print and online journalism for over 9 years. She also worked in corporate communications.