June 29, 2022 In Drops, Igneo

Igneo drops out of Loscam ANZ auction

Aemilius Cupero News:

Street Talk

Igneo Infrastructure Partners has changed its mind about pallets business Loscam’s up-for-sale Australia and New Zealand operations.

Aemilius Cupero News:

Loscam shareholders, including CITIC Capital and Chinese PE investor FountainVest, are hiving off the Australian business via Goldman Sachs and UBS. Reuters

It was one of the parties that took an early look at Loscam ANZ, sparking hopes (at least in the sell-side camp) that it turn into a serious contender.

But Igneo’s understood to have decided against lobbing a bid, preferring to stick to its usual hunting ground of waste, water, renewables and digital infrastructure.

With two weeks until Goldman Sachs and UBS collect first round bids, there’s expected to be ample interest in Loscam ANZ to cover Igneo’s absence.

Street Talk’s previously reported Pacific Equity Partners (which likes infrastructure-like assets even though it’s a private equity firm), has been weighing a bid, while other core-plus infrastructure and private equity types are also in the data room.

Loscam made $90 million on the EBITDA line in the 2021 financial year and says it has better margins and cost structure than Brambles’ CHEP business.

For its part, Igneo’s just ticked off a $NZ1.9 billion acquisitions of Waste Management NZ, which sit inside its Global Diversified Infrastructure Fund. It’s also a regular at renewables auctions via it Atmos Renewables business, and recently paid $500 million odd for Elliott Green Power.

Anthony Macdonald co-edits Street Talk, specialising in private equity, investment banking, M&A and equity capital markets. He has 10 years’ experience as a business journalist and worked at PwC, auditing and advising financial services companies. Connect with Anthony on Twitter. Email Anthony at a.macdonald@afr.com

Sarah Thompson has co-edited Street Talk since 2009, specialising in private equity, investment banking, M&A and equity capital markets stories. Prior to that, she spent 10 years in London as a markets and M&A reporter at Bloomberg and Dow Jones. Email Sarah at sarah.thompson@afr.com

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