**KKR Relaunches Sale of Waste Management Portfolio After Delay**
American private equity firm KKR is set to relaunch the sale of its waste management subsidiary, RE Sustainability Ltd, following a nearly year-long pause. This marks KKR’s second attempt to exit the business, having previously sought to sell the company in August 2021. The firm aims to secure between $1 billion and $1.5 billion from this divestment, according to sources familiar with the matter.
RE Sustainability, which processes over 1 million tonnes of industrial waste annually and serves approximately 45,000 healthcare facilities, was formerly known as Ramky Enviro Engineers Ltd. KKR acquired nearly 60% of Ramky Enviro for around $530 million in August 2018. The company specializes in various waste management services, including municipal solid waste, industrial waste, biomedical waste, and e-waste management, as well as recycling and waste-to-energy projects.
Investment banks JP Morgan and Barclays have been appointed to facilitate the sale process, with information memorandums expected to be distributed later this month. Formal discussions regarding the deal are anticipated to commence shortly thereafter. This activity follows KKR’s previous decision to carve out the industrial waste management segment from Ramky Enviro and sell the municipal business back to its founder, Alla Ayodhya Rami Reddy.
Founded in 1994 by Reddy, who is also a member of Parliament from the YSR Congress party, RE Sustainability continues to be a significant player in the waste management sector. The Industrial Waste Management (IWM) division remains the largest contributor to the company’s overall operations.
Inquiries directed to KKR, JP Morgan, Barclays, and other involved parties have not received responses as of the latest updates.
**FAQ**
*What is KKR’s plan for RE Sustainability?*
KKR plans to relaunch the sale of RE Sustainability Ltd, aiming to secure between $1 billion and $1.5 billion from the divestment after a previous attempt in 2021.
