Biffa ignores private equity bidders

Montagu Private Equity and Hg Pooled Management (HgCapital) are awaiting a response from UK rubbish collector Biffa, which was made on Tuesday 27 November, after the board rejected an initial approach on 4 September 2007.

Montagu and HgCapital have” requested talks with Biffa with a view to securing a recommendation for a possible cash offer for the Company.”

Analysts have valued Biffa at £1.14bn (US$2.33bn). Shares in Biffa have risen by at least 3.64% to 320.25p on 29 November.

Montagu and HgCapital state that after the initial offer was rejected on 7 September, they commenced the acquisition of a shareholding in Biffa, and that they “remain keen to enter into substantive discussions with the board of Biffa and remain highly committed to pursuing a possible offer for the Company. This interest has not been diminished by the recent announcement of the departure of Martin Bettington, the Biffa CEO.”