The Mayenne-based waste treatment and recycling specialist is doing well. Its business is growing, and the group is doing well on the financial markets. The strategy of a series of inorganic growth operations now seems to be paying off. Experts at AURIS Finance, a mergers and acquisitions consultancy, give you their analysis.
“Our first-half results, and in particular the significant contribution from a number of exceptionally large contracts, have led us to raise our growth and operating profitability forecasts for 2022. They are a good indication that we are well on track for our 2025 targets,” said Joël Séché, Chairman of the group, following the publication of the first-half results. For the second year running, Séché Environnement is revising its ambitions upwards. The horizon appears clear for the waste treatment and recycling specialist, which is benefiting in particular from a catch-up effect following the health crisis.
Reaching a turnover of over €1 billion by 2025
For the 2022 financial year, the group now expects organic growth of 10%, compared with 5% previously announced, and an EBITDA margin of 23% to 24%. The group’s medium-term forecasts are confirmed, with Séché Environnement targeting a turnover of €1 billion in 2025, up from €736 million in 2021. This optimism is underpinned by a well-filled order book and the structural capacity to meet it. In recent years, the group has developed both organically and through acquisitions, enabling it to conquer a large number of markets in France and abroad.
A very dynamic acquisition strategy
In recent months, Séché Environnement has entered into a series of strategic alliances with a wide range of players to broaden its offering. In January 2021, the group acquired Spill Tech, a South African company specialising in the management of hazardous waste, thus completing its offer to industrial clients through its subsidiary Interwaste.
Highly strategic consolidations
To support its growth ambitions in the wastewater sector, the group acquired Assainissement 34, an SME based in the Hérault region, at the beginning of July 2022, while in the summer of 2022 it acquired eight Veolia sites in the Paris region to strengthen its subsidiary Séché Assainissement. Other subsidiaries are not far behind, such as Speichim processing, a subsidiary specialising in the recovery and treatment of chemicals and solvents, which in June was joined by All’Chem, a production site specialising in fine chemicals. Further moves are underway, with Séché Environnement expected to complete the acquisition of a portfolio of industrial water treatment activities from Veolia in France by the end of 2022. The deal is valued at €40 million.
Our experts at your side
Inorganic growth operations can rapidly increase a company’s market share. However, this is only possible if the company’s overall development strategy is carefully thought through beforehand. Whether you are a company looking for targets or considering a sale, AURIS Finance’s experts are at your side to assist you throughout the process.
