Bingo and Planet Ark renew partnership

Planet Ark has announced it will renew its partnership with Bingo Industries Limited to continue the companies’ commitments to diverting waste from landfill and moving towards a circular economy.

The partnership will now focus on making Bingo the most sustainable company on the Australian Stock Exchange (ASX) by creating a solar power network through the installation of solar panels on the rooftops of Bingo’s recycling and recovery facilities.

The partnership originally began in 2011 and has seen Planet Ark and Bingo collaborating on sustainability initiatives including a waste education program for primary schools aimed at building awareness and encouraging positive environmental practices.

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Bingo Chief Executive Officer Daniel Tartak said the seven-year partnership with Planet Ark has been invaluable.

“What we have been able to achieve together is something I am very proud of and with our renewed partnership we will be striving for even bigger, more ambitious sustainability goals,” Mr Tartak said.

“Our aim is to lead the industry in sustainable business practices and be a steward of change by increasing the diversion of waste from landfill and investing in new state of the art technology to increase recovery rates,” he said.

Planet Ark Chief Executive Officer Paul Klymenko said Planet Ark is proud of the partnership and relationship with Bingo Industries.

“It’s been very rewarding to work with what was once a small family owned skip bin company and see it grow to become an exemplar for others in the recovery and recycling of building and demolition waste,” Mr Klymenko said.

“They are major disruptors in the industry and together we are shaping the way forward for the waste industry.”

“For the next phase of our partnership, we’re excited to help make Bingo the most sustainable company on the ASX. We will achieve this by installing solar and smart battery energy systems across their sites, improving their energy and water efficiency and reducing the environmental impact of their truck fleet,” he said.

Bingo is a major sponsor of Planet Ark’s updated Recycling Near You website, to help millions of Australians find recycling drop off locations.

Bingo Industries release FY18 half yearly report

Bingo Industries has announced its half year results for the 2018 financial year, reporting strong net revenue growth of 43 per cent.

The company’s net revenue has increased to $142.4 million compared to this time last year, which according to its1H FY18 half-year results, reflects business momentum and increased market share.

The acquisition of National Recycling Group and Patons Lane Recycling Centre, announced in December, 2017, are noted as performance highlights in its half-year results.

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CEO of Bingo Daniel Tartak said he was pleased to deliver another strong result.

“We have successfully executed several acquisitions in accordance with the strategy outlined at the time of our listing. These acquisitions have facilitated our entry and expansion in Victoria and consolidated our position in New South Wales, ahead of schedule.

“We have grown our network capacity by 70 per cent since listing in May 2017 to 1.7 million tonnes per annum and remain on track to double our footprint by 2020, to meet growing demand for recycling,” he said.

“This demand is underpinned by population growth, major infrastructure programs in Sydney and Melbourne, growing waste volumes together with diminishing landfill capacity. Meanwhile, we remain firmly committed to delivering a recycling recovery rate across the network in excess of 75 per cent, the highest in the industry.”

Broken down by segment, revenue in its collections sector increased by 29.1 per cent to $78.5 million and pro forma earnings before interest, tax, depreciation and amortisation (EBITDA) increased by 18.9 per cent to $18 million, primary driven by increased market share in the NSW building and demolition and commercial and industrial waste streams.

The number of collection vehicles was boosted from 173 to 253 over the year, after taking into account the fleet acquired with the acquisitions in the first half.

Its post-collections revenue went up by 53.4 per cent to $81.8 million and pro forma EBITDA increased by 53.2 per cent to $24 million as Bingo saw further market share in NSW.

In terms of the outlook, the results note the positive business momentum has continued into the second half of financial year 2018. The company concluded it remains on track to deliver its recently upgraded FY 18 pro forma earnings before interest, taxes, depreciation, and amortisation guidance of approximately $93 million. Completed acquisitions are expected to contribute more materially in the second half of FY18.

“Our work in hand with and pipeline provides strong revenue visibility and we remain confident of achieving our upgraded earnings guidance for the year. Our focus is now firmly on bedding down our recent acquisitions to deliver our targeted synergies and leverage the scale advantage we have across our markets,” Mr Tartak said.

Bingo Industries to raise $120m for acquisitions

NSW waste and recycling organisation Bingo Industries has announced it is raising $120 million to acquire businesses National Recycling Group and Patons Lane.

The proceeds will also be used to fund organic redevelopment opportunities and repay debt used to fund its Has-a-bin acquisition in September 2017.

Bingo Industries floated on the stock market earlier this year. Approximately 63.2 million new shares are expected to be issued under the entitlement offer, with shareholders also offered one share for every 5.55 held.

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The acquisitions, along with organic redevelopment of existing assets, are expected to support the company’s network capacity expansion across NSW and Victoria from 1.7 million tonnes per year to 3.4 million by 2020.

National Recycling Group (NRG) is the parent company of DATS Environment Services (DATS), Melbourne Recycling Centres and Harpers Bin Hire.

In a statement, Bingo Industries said that the acquisition will further accelerate its recent expansion into Victoria.

When commenting on the acquisition, CEO of Bingo Industries, Daniel Tartak, stated this venture will provide “compelling strategic benefits for Bingo.”

The move has led to the attainment of two new recycling centres in Victoria, and an additional recycling centre in New South Wales. Access to additional resources will be gained through DATS’ 55 trucks and 3,200 bins, in excess to Bingo’s current fleet, bins and waste infrastructure.

Bingo Industries float pays off for the company

Waste trucks transporting waste

NSW waste and recycling company Bingo Industries has floated onto the stock market – with the CEO Daniel Tartak said to collect $420 million from the move.

The Australian Financial Review reported that the Sydney-based company has become a $628 million company over a period of 12 years, after the Tartak family purchased a small skip bin firm more than a decade ago.

The company now runs 158 collection trucks and nine recycling centres in Sydney. The family will still maintain 30 per cent in a holding valued at $188 million.

Daniel Tartak has been CEO since June 2015, but he has been with the business for 12 years.

The four-truck skip bin company that helped define Bingo was acquired in 2005 for less than $1 million by Tony Tartak, Daniel’s father.

Daniel Tartak told the Australian Financial Review on Tuesday the family had seen a gap in the market and had the courage to back itself.

“We saw there was a big opportunity in offering a more innovative service in waste management and we really just went for it,” he said.

Bingo chairman Michael Coleman, who is a director of Macquarie Group said in a letter to potential investors that the company was a leader in building and demolition waste collection in Sydney and its presence in waste collection in the commercial and industrial market was growing strongly, largely through “market share gains”.

The commercial and industrial waste collection service commenced in 2013-14, but is expected to produce revenue of $31.7 million in 2016-17.

Mr Coleman said the broad dynamics in the sector were working for Bingo, with strong investment in infrastructure and population growth driving demand, while there was a “clear preference” for diversion of waste from landfill by governments, corporations and consumers, and this bolstered the importance of recycling.

The prospectus said the entire Australian waste management sector grew at a compound annual growth rate of 7.2 per cent between 2007 and 2015.