Veolia Environnement to sell stake in Berlinwasser through new agreement
Veolia Environnement announces the signature of an agreement with the Federal State of Berlin authorities to sell its 24.95% stake in Berlinwasser.
PARIS, FRANCE, Sept. 16, 2013 -- Veolia Environnement announces the signature of an agreement with the Federal State of Berlin authorities to sell its 24.95% stake in Berlinwasser for €590 million ($784 million), supplemented by €12 million ($15.9 million) for miscellaneous items and the share of dividends and interests due in respect of financial year 2013. This divestment would be a direct contribution to the Group's two-year €6 billion ($7.97 billion) asset divestment program, now almost achieved.
This sale is subject to approval by the Senate and Parliament of Berlin, as well as EU antitrust authorities, and is expected to be finalized by the end of the year.
Veolia's commitment in Berlinwasser dates back to the partial privatization of the municipal water and wastewater company in 1999. Since the sale by RWE of its shares in Berlinwasser in 2012, the State of Berlin has retained control over the company with a 75.05% share and has agreed with Veolia to achieve full control. This fruitful partnership has succeeded in a substantial modernization of the company, which has improved efficiency while securing the highest ecological and social standards and continuous infrastructure investment.
Veolia Environnement will remain active in Germany and continue to grow its water and waste management operations for municipal and industrial clients, in line with the strategic priorities of development and profitable growth as defined and implemented for the past 18 months by Antoine Frérot, Chairman and Chief Executive Officer.
"The decision to end this partnership has been taken in mutual agreement with the State of Berlin," said Frérot. "For Veolia, Germany otherwise remains one of the most important countries with an excellent potential for future development."
About Veolia Environnement
Veolia Environnement (Paris Euronext: VIE and NYSE: VE) is the worldwide reference in environmental solutions. With 220,000 employees*, the company has operations all around the world and provides tailored solutions to meet the needs of municipal and industrial customers in three complementary segments: water management, waste management and energy management. Veolia Environnement recorded revenue of €29.4 billion* in 2012. www.veolia.com
(* ) Excluding VeoliaTransdev employees and revenues currently under divestment