Norway's Scanship buys French Etia in waste-to-energy technology drive

Norwegian wastewater purifying company Scanship Holding ASA (FRA:213) on Wednesday agreed to purchase French thermal waste treatment engineering group Etia Ecotechnologies in a cash-and-stock deal worth EUR 19.7 million (USD 21.8m) in a bid to increase its capacity.

The transaction, for which the target company will receive EUR 8.5 million in cash, also includes a EUR-4.2-million deferred loan convertible into Scanship stock at a price of NOK 19.33 apiece as well as EUR 6.9 million worth of Scanship shares at a price of NOK 17.90 apiece.

The deal is subject to customary closing conditions.

The acquisition will allow Scanship to grow its land-based offering and expand to markets where pyrolysis, or high-temperature waste treatment, can be used to produce energy or biofuels from converted organic waste, plastic and polymers.

Founded in 1989 by two French industrial waste engineers, Etia's specialist technology of heat treatment of food was expanded in 2009 to include thermal processing of non-edible biomass and waste.

Scanship operates technology to convert waste and wastewater into clean energy and purified water in the cruise and aquaculture industries.

The Norwegian company on Wednesday posted a 21% year-on-year revenue growth to NOK 93.3 million (USD 10.3m/EUR 9.3m) in the first half of 2018, with a 23% increase in earnings before interest, taxes, depreciation and amortisation (EBITDA) to NOK 11.1 million.

(EUR 1.0 = USD 1.108)

(NOK 1.0 = USD 0.110/EUR 0.099)

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