Bingo agrees to $2.3 billion Macquarie takeover deal

Waste manager Bingo Industries, which started with just four garbage trucks in 2005, was bought by Macquarie Infrastructure and Real Assets (MIRA) and its managed funds in a $2.3 billion deal.

This will end an impressive run for the company founded by the Tartak family, which still owns a 19.8% stake in the company. Bingo traded on the ASX in 2017 at $1.80 per share.

As part of the deal, Bingo investors will have the option to receive $3.45 per share or a combination of cash and unlisted securities for the company, which currently operates a fleet of 330 garbage trucks. The stock jumped on news of the deal and closed Tuesday up 6.3% at $3.40.

Bingo Industries CEO Daniel Tartak has a 19.8% stake in the company.

Bingo’s Independent Board of Directors (IBC) unanimously recommended the program. “BAC is pleased to have reached unanimous agreement with MIRA on this proposal. The IBC has concluded that the scheme is in the best interests of Bingo shareholders,” said IBC Chair Elizabeth Crouch.

“IBC explored a number of alternatives, including stand-alone value creation opportunities and interest from alternative bidders. After considering future opportunities for the business, as well as economic, regulatory and risk execution, the IBC has unanimously concluded that the program is a compelling option that generates attractive value for our shareholders,” she said.

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The board said directors who own or control 31.57% of Bingo’s outstanding shares intend to vote all shares in favor of the deal.

Frank Kwok, head of MIRA Asia-Pacific, said the deal would bring real value to Bingo shareholders. “The proposal recognizes Bingo’s achievements and position in the market, with a strong asset base and a highly capable management team,” he said.

“With MIRA’s significant experience in investing in and operating recycling and waste management
businesses around the world, we look forward to lending our expertise to support the team in
deliver the next phase of Bingo growth.