Jan. 2, 2015 – Newalta Corp. has entered into an agreement with Revolution Acquisition LP, a company formed by Toronto, Ont.-based Birch Hill Equity Partners, to sell its industrial division for $300 million.
The division employs 950 people in more than 35 locations across Canada, and features the industrial facilities network, industrial-related onsite services, an engineered non-hazardous solid waste landfill located at Stoney Creek, Ont., and a used oil collection network and re-refining facility in North Vancouver, B.C.
“This transaction advances our strategy of unlocking value as we focus on our core growth divisions, New Markets and Oilfield,” said John Barkhouse, president and CEO of Newalta. “The transaction is an excellent outcome for Newalta, the employees and customers of the industrial division. Birch Hill is a well-respected Canadian private equity firm with a proven track record of investing in leading companies that have demonstrated strong future potential.”
Pierre Schuurmans, a partner at Birch Hill, added, “We are pleased to add the industrial operations of Newalta to the Birch Hill family. We believe the division has tremendous opportunity to build on its strong capabilities, asset base and market positions across Canada and North America.”
Birch Hill Equity Partners will also assume the division’s asset retirement obligation.
The transaction is expected to close in the first quarter of 2015.