Key Moments
- KKR is close to a multibillion-pound deal to sell up to 50% of Viridor to infrastructure investor Equitix, according to The Financial Times.
- Equitix, already holding 35% of Viridor’s energy subsidiary, has emerged as the leading bidder and may initially take a minority stake with an option to reach 50%.
- KKR has been targeting a £7 billion valuation for Viridor including debt, with Equitix’s proposal reportedly offering the highest valuation among bidders.
Transaction Overview
Investing.com reported that KKR is nearing a multibillion-pound transaction to sell as much as half of its UK waste management business Viridor to infrastructure investor Equitix, citing a Wednesday report from The Financial Times.
The U.S. private capital group had been evaluating both full and partial exit strategies for Viridor, which earns income by delivering waste recycling services to local government authorities.
Structure of the Potential Deal
According to The Financial Times, Equitix has emerged as the preferred buyer. The outlet, referencing people familiar with the talks, said that an announcement on the agreement could come as early as Wednesday.
Under the structure being discussed, Equitix would start by purchasing a minority interest in Viridor, paired with an option that would allow it to increase its stake to 50% over time. Sources cited by FT warned that the negotiations remain fluid, meaning the terms could change or the deal could ultimately fail to materialize.
Existing Relationship and Valuation Targets
Equitix already owns 35% of Viridor’s energy subsidiary, providing it with an existing foothold in the business. KKR, meanwhile, has been seeking a £7 billion valuation for Viridor, including debt.
The company had previously attracted attention from other interested parties, among them Hong Kong-based CK Hutchison’s infrastructure arm and Brookfield. While KKR received proposals for a full sale of Viridor, Equitix’s offer reportedly came with the strongest valuation.
Key Deal Metrics
| Party | Role/Interest | Details |
|---|---|---|
| KKR | Selling shareholder | Considering sale of up to 50% of Viridor; seeking £7 billion valuation including debt |
| Viridor | Target company | UK waste management firm providing recycling services to local authorities |
| Equitix | Prospective buyer | Infrastructure investor; already owns 35% of Viridor’s energy subsidiary; could initially buy a minority stake with option to reach 50% |
TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover 
