Fortum has signed an agreement with the majority shareholders of waste management company Ekokem Corporation to acquire the company.
Finland-headed energy major Fortum has announced that it has signed an agreement with the four biggest shareholders of Finland-based Ekokem Corporation, a leading operator of municipal and industrial hazardous waste treatment facilities, to acquire the company. Representing 81 percent of the shares, the four are the Finnish State, the Association of Finnish Local and Regional Authorities, Ilmarinen Mutual Pension Insurance Company and the Helsinki Region Environmental Services Authority (HSY). The transaction is subject to competition authority clearances in Finland and in Sweden and, assuming clearance, Fortum will proceed with a minority redemption process.
Ekokem is specialised in material and waste recycling, final disposal solutions, soil remediation and environmental construction. The company has a strong position especially in treatment of hazardous waste. Ekokem serves both industrial and municipal customers from its facilities in Finland, Sweden and Denmark. The main revenue sources comprise of waste and environmental services, as well as revenues from the sales of power, recycled materials and heat.
– Ekokem is a first-class company with experienced management and personnel. Supported by Fortum’s competence in waste-to-energy and strong financial resources, a true Nordic circular economy champion will be formed. We see excellent international growth opportunities for the business and intend to invest in the further development of Ekokem’s solutions, commented Pekka Lundmark, President and CEO of Fortum in a statement.