In April this year, Dubai-based waste management company averda announced that it had acquired a majority stake in local waste management company, Wasteman Holdings. Frances Ringwood talks to averda CEO Malek Sukkar and Wasteman CEO Jan Labuschagne about partnership synergies.

What was the reason for the acquisition and how will it further strengthen Wasteman’s already considerable offering?

MS: Wasteman is already one of the largest waste management companies in South Africa, so I believe this investment will enable us to enter into the South African market in a significant way within a short period of time. We believe the time is right to introduce new technologies in waste processing and disposal, as well as break-through processes in operations and logistics, into the market, and averda is well positioned to assist Wasteman in this direction.

Can you please provide more detail about how the partnership is structured?

We have acquired a majority share in Wasteman which means both businesses can leverage from each others experiences. averda operates across a variety of countries, cultures and business sectors, so we can bring that experience and know-how to help support Wasteman’s growth plans.

What will the benefits of this agreement be for averda?

I think it benefits us in three key ways: Firstly, it enables us to help enhance waste management services for the people of South Africa. Secondly, it strengthens our group’s position in Africa, in line with our global growth targets. Finally, it’s a platform for further product development and innovation in the region.

How will averda’s experience enhance Wasteman’s services to the local market?

averda operates in over a dozen countries, across three continents, managing the waste collections and cleaning in some of the largest, complex and growing cities in the developing world. Our experience of understanding the envirornment, both in terms of the practical challenges, as well as behaviours and attitude towards waste, has been built over many years. Whether it is the latest technology in trucks or the deployment of bin sensors, I am confident that our expertise will benefit and enhance Wasteman’s operations. We have recently rolled out our operation in Casablanca, which is a city of 7 million people, and that experience can be mapped quite favourably with the rapid growth of Gauteng. In addition, our operation in Ireland may be useful for creating more service-focused operations that business customers will find more appealing.

What are the corporate values of averda and Wasteman, and how do they complement one another?

Our values are simple and threefold: deliver, care, inspire. These values are rooted in everything we do. We deliver our promise to the customer, no matter the challenges. We care for our community, inside and outside the company. We inspire ourselves and others to go the extra mile, and aspire to a higher purpose. Our values drive us to do the right things every day, for the right reasons.

What is the two players’ shared vision for the future of Wasteman? Can you talk to the future of averda?

We see Wasteman going from strength to strength and are excited to work together on the development of some key new initiatives. In terms of the future of averda, our commitment is to continue to clean cities to make them healthier, happier and safer places to live. Our goal is to be the leading intergrated waste management company for developing markets across all five continents. We are delighted to have Wasteman on this journey with us.

Can you tell our readers a little more about Wasteman’s other big milestone which your company recently celebrated?

JL:The Wasteman group recently celebrated its 35th year in the South African waste industry,growing from a base in the Western Cape to a fully integrated waste management company with a national footprint, offering solutions to a range of clients in the industrial, commercial, and domestic sectors.