Renewi plc ("Renewi" or the "Group") (LSE: RWI.L and Euronext Amsterdam: RWI.AS), a leading European waste-to-product company, is pleased to announce the completion of the sale of its UK Municipal operations (“UK Municipal”) to Biffa Limited (“Biffa"), a leading UK-wide integrated waste management business (the “Divestment”).

As previously announced, the completion of the Divestment will immediately deliver a number of significant benefits to the Group, while meeting the outlined timeline:

• De-risks Renewi’s balance sheet;
• Provides an increase in annual cashflow of €15-20m;
• Supports EBIT margin expansion of c.50 bps; and
• Improves the Group’s overall recycling rate.

The Divestment is a key deliverable in Renewi’s portfolio optimisation strategy and will allow the Group to fully focus on its core recycling business in the Netherlands, Belgium, France and Portugal. As part of Biffa, the UK Municipal activities can be integrated into a broader base of leading UK sustainable waste management operations where its expertise and asset base will be complementary.

The UK Municipal activities have been transferred to Biffa following a capital injection of approximately £125m. Following completion, Renewi's pro forma core net debt / EBITDA ratio came in at approximately 2.9x EBITDA as anticipated, with leverage expected to drop by approximately 0.4 - 0.5 turns per annum to 2.0x over the medium-term.

Renewi’s CEO, Otto de Bont: "We are pleased to confirm the successful completion of the divestment of UK Municipal to Biffa, bringing a positive outcome for all stakeholders. This transaction is a transformational milestone in our strategy, allowing us to further focus on our core and profitable recycling business in Europe, as we continue to generate more value for our shareholders and increase our contribution to the circular economy."

Biffa’s CEO, Michael Topham: “We are pleased to have completed our acquisition of UK Municipal and welcome our new colleagues and customers to Biffa. We are committed to integrating the business smoothly and continuing to provide a high-quality service to our new customers while helping them to deliver their recycling and de-carbonisation ambitions.”