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.