Samsung E&A Co. has entered the race to acquire a controlling stake in Cenviro Sdn. Bhd., Malaysia’s largest integrated waste management company, according to KED Global.
The bid places Samsung’s engineering arm alongside French utility Veolia Environnement SA and a consortium led by Quantum Capital that includes pension fund Kumpulan Wang Persaraan and I Squared Capital. Private equity firm TPG and local operator Alam Flora have also expressed interest.
Cenviro’s full valuation stands at approximately $1 billion. The company is currently owned by Malaysian sovereign wealth fund Khazanah Nasional, which holds a 70% majority, and SK Ecoplant Co. with the remaining 30%. SK Ecoplant, part of South Korea’s No. 2 conglomerate SK Group, has been looking to exit since June as part of a broader restructuring to shed non-core assets.
Samsung E&A’s pursuit marks an expansion of its environmental business portfolio in Southeast Asia. The company, formerly Samsung Engineering, has been active in Malaysia, having secured a $955 million contract last December to build a sustainable aviation fuel refinery in Johor.
Cenviro operates Malaysia’s sole integrated hazardous waste management center in Negeri Sembilan, licensed to handle 76 of 77 scheduled waste categories. The company posted profit of RM34.6 million ($7.8 million) on revenue of RM263.9 million in fiscal 2023.
Whether Samsung E&A can secure more than SK Ecoplant’s minority stake remains unclear given Khazanah’s strategic interest in the sector.
