Hazardous waste management specialist Augean has purchased the assets and surrounding land of its East Kent Waste Recovery Facility at Sandwich for an initial sum of £1.5m.
The site opened in April 2012 with Augean signing multiple 10-year leases to operate a high temperature incinerator, solvent handing facility and associated plant and storage facilities at the site.
Having leased the land for two years, Augean said that an opportunity had arisen to buy it from landlord Discovery Park Ltd for £1.5m plus a further two payments of £200,000 deferred until January 2015 and January 2016.
Since opening its doors the Kent site has offered secure destruction for a range of chemical, clinical and pharmaceutical waste for clients across the UK. Last year, turnover at the site was £1.5m, which was restricted by the need to upgrade the incinerator’s solid feed mechanisms. For 2014 Augean expects turnover to exceed £2.5m and contribute £300,000 to group EBITDA.
CEO Dr Stewart Davies said: “The purchase of an expanded site at East Kent provides an excellent opportunity for Augean to enhance its position as a key partner to a range of customers requiring secure destruction of their hazardous wastes. We believe that through owning the assets and land at East Kent we can extend our existing waste management services through the capabilities of the incinerator and the use of new secure storage facilities, driving further revenue growth and enhancing returns for shareholders. Work on this transformation is already underway.”
The purchase of the East Kent facility follows Augean’s decision to sell off its “underperforming” hazardous waste transfer station business and focus on other areas, such as offering more integrated hazardous and non-hazardous waste services.
Augean sold off its facilities at Worcester, Rochdale and Hinkley to undisclosed buyers as part of the plan.