NZ's Transpacific waste unit hauls in local, foreign interest
SYDNEY Oct 30 (Reuters) - Garbage is good business in New Zealand as Transpacific Industries Group Ltd found out on Wednesday when local and international players made known their interest in buying the company's waste management unit, a person familiar with the process said.
The unit has previously been reported as being worth NZ$900 million ($743.85 million), but a company spokesman declined to comment on the valuation of the business. Transpacific forecasts full-year 2014 earnings before interest, tax, depreciation and amortization of around NZ$110 million for the waste business.
The recycling, waste management and industrial services company said it was looking to sell its assets in New Zealand to focus on growing its Australian arm as part of a broader corporate revamp.
The New Zealand sale comes after private equity firm Ironbridge Capital Pty Ltd sold its New Zealand waste company, EnviroWaste Services Ltd, to Hong Kong's Cheung Kong Infrastructure Holdings Ltd for NZ$501 million, including NZ$11 million in debt.
An information memorandum on the Transpacific sale is expected early next week, the person familiar with the matter said. The company has appointed Deutsche Bank to handle the process.
Transpacific's shares rose 4.5 percent to A$1.09, reaching their highest point since March 2011.
($1 = 1.2099 New Zealand dollars)
(Reporting by Jackie Range; Editing by Matt Driskill)
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