Dutch AEB plant sold to AVR for €450 million

The plant’s current owners, the municipality of Amsterdam, announced the sale last week and said it comes after a “competitive sales process, from which AVR emerged as the most suitable candidate for the acquisition of AEB”.

The AEB facility, which was commissioned in 1993, is one of the largest in the Netherlands, and is a major off-taker of residual waste in the form of refuse derived fuel (RDF) from the UK.

Around 20% of the plant’s capacity – roughly 250,000 tonnes – was fulfilled by imports of material from the UK in 2018.

AVR operates two EfW plants in the Netherlands and is owned by Hong Kong company CK Infrastructure Holdings, which owns a number of power companies in the UK. CK Infrastructure is owned by Li Ka Shing, the richest man in Hong Kong.

The City of Amsterdam’s deputy mayor responsible for municipal holdings, Victor Everhardt, said: “We are pleased with the agreement reached. In AVR, AEB finds a financially strong new shareholder and the business can continue to be strengthened and made more sustainable.

“I am confident that this buyer will provide AEB with a healthy and stable future, with consideration for its employees.”

We get the desired shareholder with knowledge of the market and a long-term view

• AEB director, Paul Dirix 

Approval

The move is subject to approval by the Dutch Competition Authorities, and will be finalised early “through the course of 2022”.

In a statement, AEB said its management was pleased with the transaction.

It said: “AVR is well-known in the industry and is known as a company that has been consistently committed to sustainability, a circular economy and customer focus for years.”

AEB’s director, Paul Dirix, added: “With AVR as partner, we get the desired shareholder with knowledge of the market and a long-term view. This will allow AEB to continue successfully along its upward path.

“This transaction is in the best interest of customers, employees and all other stakeholders of AEB. We look forward to working with AVR and welcome their commitment to employment at AEB.”