Biffa Executives Said Set for $38 Million Payday From U.K. IPOby
The executive team at Biffa, the U.K. waste management business heading for an initial public offering in London, is set to make as much as 30 million pounds ($38 million) if the listing goes ahead, according to a person familiar with the situation.
Biffa, which has been led by Chief Executive Officer Ian Wakelin for the last six years, is hoping to raise 270 million pounds from investors next month in what will be the largest IPO in the U.K. since the country’s vote in June to leave the European Union. A representative for the company declined to comment.
About 30 members of the management team will cash in some of their shares as part of the IPO, though the team as a whole will retain significant stakes in the business, a person familiar with the plans said, asking not to be identified because the details are private. The windfall could stoke fears that the company’s leadership, which has a total of 137 years of waste management experience, will use the listing as an opportunity to move on, and the company may have to revisit the payout if it spooks investors, one of the people said.
Biffa said it will use the proceeds to look at merger opportunities, diversify its operations and invest in technology. Biffa was taken private in 2008 by a consortium of investors led by Montagu Private Equity, Global Infrastructure Partners and Uberior Co-Investments.