Waste management companies grow more attractive to private equity funds
Posted : 2021-03-07 11:56
Updated : 2021-03-07 14:39
Sanitary workers recycle waste at a disposal site located in Yongin last October. Korea Times photo by Choi Won-suk
By Anna J. Park
Waste management companies appear to be growing more attractive for profit-seeking private equity funds (PEFs), not only due to their indispensable roles in the consumer-oriented environment, but also by coinciding with the environment, social and governance (ESG) criteria for measuring sustainability, which is becoming crucial in attracting investments.
The latest deal that has caught the attention of market watchers was waste disposal business Eco Management Korea (EMK) s recapitalization, raising the firm s secured debt to 370 billion won ($327 million) from 110 billion won. Recapitalization is a financial investment method that raises new capital by borrowing additional secured loans from banks. Through the process, i