Bingo confident of ACCC approval; working to restore credibility
By
Jemima WhyteUpdated Feb 26, 2019 — 5.53pm, first published at 11.08am
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Bingo Industries chief executive Daniel Tartak is confident the Australian Competition and Consumer Commission will give the green light to its proposed $577.5 million acquisition of Dial-a-Dump on Thursday, saying the waste management group is working hard to restore credibility and deliver on its strategy after cutting earnings forecasts by 20 per cent last week.
"We are confident of a green light this Thursday," Mr Tartak said. "It [the deal] will transform this business in a bigger and different way."
Bingo raised $435 million from shareholders at $2.54 a share last April to buy Ian Malouf's Dial-a-Dump business, a transaction the company says will diversify its earnings and enable it to own its own landfill. Mr Tartak told analysts on Tuesday the Dial-a-Dump business was "continuing to perform relatively well".
Bingo Industries' Daniel Tartak says the waste management company must work to restore credibility with investors. Cassandra Hannagan
He said if the transaction was curbed or blocked, Bingo was considering a share buyback or "growth options" such as other acquisitions and expanding existing assets.
"There's not a scenario where we are going to give back the complete $435 million," Mr Tartak said.
