In 2017, SUEZ combined all the Group’s waste and water activities in mainland China, Macau, Hong-Kong and Taiwan by establishing a joint-company, SUEZ NWS, with its historic partner NWS. Since then, SUEZ held a 58% stake in SUEZ NWS and assumed full management.
The acquisition of the remaining 42% stake from NWS announced today is a new step in SUEZ’s long-term commitment in the region. Through this operation, SUEZ pursues its development in Asia and reinforces its position as a leading environmental company in the region to seize new opportunities and win high value-added contracts.
With over 70 water and waste contracts in more than 30 cities, operated daily by 9,000 employees, SUEZ has already been developing for many years its expertise in Asia with its local partners. As of today, over 25 million people receive SUEZ water supply services in China, in cities such as Chongqing where SUEZ NWS is serving 2.2m inhabitants daily and commercial customers and bringing cutting-edge solutions. In Waste, the Group has also considerably expanded its presence in the region over the last few years, notably being the largest waste management supplier in Hong-Kong and operating 7 hazardous waste treatment facilities in mainland China and Taiwan.
In addition to providing services, SUEZ has always shown a strong commitment to generate positive social and economic impact notably through solutions supporting the circular economy and sustainable development priorities.
In 2015, SUEZ and NWS signed, through their 50/50 joint venture Suyu, an agreement with Chongqing Water Assets to jointly create Derun Environment.
Derun Environment, through its 50.04% shareholding in Chongqing Water Group and 43.86% in Chongqing Sanfeng3, is a leading Group in Water and Waste activities in China and an investment platform to significantly speed-up the development and implementation of innovative solutions in the Chongqing area.
Following the acquisition of NWS' indirect 50% stake in Suyu, SUEZ will now own 25.1% of Derun Environment. By increasing its ownership, SUEZ is reinforcing its commitment and partnership with Chongqing Water Assets. SUEZ will continue to develop and implement cutting-edge solutions to optimize water and wastewater treatment management, in partnership with the municipality and its partners.
The transactions, which are expected to close by Q1 2021, are subject to regulatory approval and customary closing conditions.