PARIS--(Business Wire)--
Regulatory News:
Veolia Environnement (Paris:VIE) announced today that it has entered into an
agreement to sell Montenay International, its North American portfolio of
waste-to-energy contracts, to Covanta Holding Corporation (NYSE: CVA) for a
total consideration of $450 million including debt assumption. This enterprise
value represents nearly 10 times 2008 EBITDA. The transaction is subject to
applicable regulatory approvals as well as other customary closing conditions,
including third parties' approvals. In the absence of such approvals, certain
assets could be excluded from the transaction's scope, the price being reduced
pro tanto. Our goal is to close the transaction before the end of the year.
The sale of Montenay International forms part of the disposal program announced
by Veolia Environnement on March 6, 2009.
Denis Gasquet, CEO of Veolia Environmental Services, stated: "Our portfolio of
waste-to- energy contracts in North-America is largely independent from and
generates few synergies with the rest of our activities. The potential areas of
development in the North America waste-to-energy market also appear to be
limited and independent from the other segments of the solid waste market. The
waste-to-energy market is, however, a strategic growth platform for Veolia
Environmental Services in countries with strong growth potential where synergies
can be generated with our waste collection or waste treatment activities, for
example in the UK through Private Finance Initiatives."
Veolia Environnement is an important leader in environmental services in North
America. Overall the group`s operations in North America generated approximately
$4.5 billion of revenue in 2008, net of the divested business.
***
Veolia Environnement (Paris Euronext: VIE and NYSE: VE) is the worldwide
reference in environmental services. With more than 330 000 employees the
company has operations all around the world and provides tailored solutions to
meet the needs of municipal and industrial companies in four complementary
segments: water management, waste management, energy management and freight and
passenger transportation. Veolia Environnement recorded revenue of €36.2 billion
in 2008. www.veolia.com
Important Disclaimer
Veolia Environnement is a corporation listed on the NYSE and Euronext Paris.
This press release contains "forward-looking statements" within the meaning of
the provisions of the U.S. Private Securities Litigation Reform Act of 1995.
These statements are based on management`s current expectations or beliefs and
are subject to a number of factors and uncertainties that could cause actual
results to differ materially from those described in the forward-looking
statements. These factors and uncertainties in particular include risks related
to customary provisions of divesture transactions and those described in the
documents Veolia Environnement has filed with the U.S. Securities and Exchange
Commission. Veolia Environnement does not undertake, nor does it have, any
obligation to provide updates or to revise any forward-looking statements.
Investors and security holders may obtain a free copy of documents filed by
Veolia Environnement with the U.S. Securities and Exchange Commission from
Veolia Environnement.
Press release also available on our web site: http://www.veolia-finance.com
Veolia Environnement
Analyst and institutional investor contact:
Nathalie Pinon +33 1 71 75 01 67
or
US Investors contact
Brian Sullivan - Tel +1 312-552-2847
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