WasteCo all set to make NZX debut

Waste management firm WasteCo Holdings is to debut on the NZX today after a reverse listing through listed shell company Goodwood Capital.

At a special meeting yesterday, Goodwood Capital sought and gained shareholder approval for the implementation of a capital restructure which had been negotiated and endorsed by the board and announced to the market on April 26.

WasteCo, through its wholly owned subsidiaries, owns and operates a range of business activities associated with waste and refuse collection, recycling and disposal, street cleaning, and other industrial services in the South Island.

The company said its business operations were profitable and were experiencing year-on-year growth.

The restructure effectively values the equity of the WasteCo business at $25.2 million, plus an additional $4m to redeem recently issued mandatory convertible notes.

The total $29.2m acquisition price will be satisfied by the issue of 504 million shares in the company to the vendors for the purchase price, and the issue of an additional 80 million shares in the company to redeem the mandatory convertible notes, with all such new shares having an issue price of $0.05 per share.