Viridor Waste Management has bought family firm Storm Recycling for £1.7 million.
Based in Winsford, Cheshire, Storm Recycling collects cardboard and plastics at its recycling depot is located just off Junction 18 of the M6 motorway. It is from this local area that it collects most of its material for recycling typically under three- to five-year contracts. It handles between 20,000 to 25,000 tonnes of cardboard and plastics per year.
Viridor chief executive Colin Drummond said: “The UK’s waste strategy demands ever increasing levels of recycling while the world has increasing demand for raw materials including recyclate.
“Recycling is a fast growing part of Viridor’s business and accounted for around 25 per cent of the company’s profits in 2010/2011. This acquisition has an excellent geographic and business fit with Viridor’s existing operations in the north-west of England and complements our existing recycling activities elsewhere in the UK.
“The recyclate from Storm Recycling will also provide additional volumes for our international trading arm. The acquisition is expected to be earnings enhancing in its first year.”