Our Corporate and M&A team advised UAB “ECSO holding” and its shareholders in a successful and highly profitable exit from UAB Ecso, a Lithuanian low-density polyethylene recycling company.
Ecso was created in 2009 and developed into the leading polyethylene recycler in Lithuania. Currently, the company has an annual capacity to process 20,000 tons of film waste per year from household and industrial post-consumption, transforming it into recycled LDPE granules, thus addressing the needs of European producers for good-quality recycled input. Polyethylene is one of the most common types of plastics, amounting to 40% of total plastics consumption in Europe.
The buyer – private equity fund Abris Capital Partners portfolio company GreenGroup specializes in recyclable waste management, recycling, and waste recovery.
Our firm led the transaction from the selling side, assisted the client from the initial stages of the sale, advised on the structuring of the transaction, and included and led multiple rounds of drafting and intense negotiating of various transaction documents, with share purchase agreement being governed under English law.
This transaction is important from the environmental point of view, as Ecso recycled materials have a low collection rate, and they require significant investments in advanced recycling technologies. Therefore, they are the most likely to reach incineration or landfills. By integrating UAB Ecso within GreenGroup’s ecosystem, it is certain to accelerate the circular economy of plastics shall be accelerated, playing an important role in reducing pollution and in recovering a valuable resource for the economy.