Veolia Umweltservice GmbH intends to acquire 100 per cent of the German Eurologistik group and its subsidiaries. "With this move, we are advancing our growth strategy in one of our core regions and are also strengthening our alternative fuel processing segment," said Matthias Harms, the CEO of Veolia's waste management operations in Germany, on Wednesday.
The sales contracts were reportedly signed at the beginning of the week. However, the takeover remains subject to the approval of the German anti-trust authority as well as that of the companies' supervisory boards and works councils, Veolia said.
Eurologistik, which is headquartered in Senftenberg in eastern German state of Brandenburg, reported sales totaling € 38.8m at its seven sites last year. The company employs a staff of 245. The subsidiary making the largest contribution to turnover is the waste management firm Eurologistik Umweltservice GmbH.
The most recent available earnings figures for Eurologistik Umweltservice GmbH indicate that the company generated sales of € 20.2m in 2015 with a profit of just under € 1.9m for the year. The company has around 160 employees and is active in the production of secondary recovered fuels (SRF).
The Eurologistik group also includes the subsidiaries Frassur Entsorgungsdienste GmbH and Service und Recycling Drebkau GmbH, both based in Brandenburg, as well as Eurologistik Recycling Hamburg GmbH.