Augean Sells Off Waste Management Broker AIS For GBP3.8 Million

16th Mar 2018 14:50

LONDON (Alliance News) - Waste management business Augean PLC said on Friday it has sold waste management broker AIS Ltd to Regen Devco Ltd for GBP3.8 million.

Regen Devco will make an initial payment of GBP3.0 million, with a further GBP800,000 on agreed completion accounts and further amounts expected for the delivery of working capital over normalised levels.

Proceeds from the disposal will go towards paying down existing debt facilities.

For 2017, AIS's pretax loss for 2017 was GBP400,000, on revenue of GBP8.0 million.

In addition, AIS has signed a three-year exclusive supply agreement with Augean, to use the group for hazardous waste disposal and treatment, including the East Kent High Temperature Incinerator which Augean will retain.

"We are pleased to announce the disposal of AIS to Regen Devco while retaining the ongoing hazardous waste disposal. This transaction forms part of our plan to streamline the group, concentrate on cash generation to reduce debt and focus on rebuilding the core strengths of the group moving forward," said Executive Chair Jim Meredith.

Shares in Augean were untraded on Friday, last quoted at 25.00 pence.

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