Your browser is no longer supported

For the best possible experience using our website we recommend you upgrade to a newer version or another browser.

Your browser appears to have cookies disabled. For the best experience of MRW, please enable cookies in your browser

We'll assume we have your consent to use cookies, so you won't need to log in each time you visit our site.
Learn more

Bank moves to take over waste giant

Indebted waste firm Biffa is set to be seize by creditors according to press reports.

The Sunday Times reported that the HSBC bank is leading a group of disgruntled creditors to take over the company from its current private equity owners – Montague, Global Infrastructure Partners and HBOS.

HSBC will take control of Biffa’s operations, according to the report.

Creditors forced the waste firm to put itself up for sale earlier this year fearing its £1bn debts had become unsustainable.

Biffa was acquired by the buyout consortium in 2008 for £1.2bn. It then bought rival firm Greenstar in 2010 for £135m.

Brian Strutton, national secretary for public services at the GMB union, quoted by the Guardian, said unions were seeking urgent talks with Biffa to protect jobs and services.

He said: “Biffa is a fundamentally sound business crippled by the greed of private equity owners. The core waste and recycling operation can emerge stronger without the millstone of debt around its neck.”

A Biffa spokeswoman said: “‘Biffa is a profitable, cash generative business which is performing in line with its plans. The company is undertaking a well-managed, planned restructuring process, working with its lenders to reduce the debt on the business.”

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Links may be included in your comments but HTML is not permitted.