Sacyr agrees to sell waste management unit to Morgan Stanley Infrastructure

(Reuters) - Spanish construction firm Sacyr said on Monday it had agreed to sell its waste management unit to Morgan Stanley Infrastructure Partners, the first step in a divestment plan that aims to switch focus to its profitable concession business.

The deal, reported by Reuters on Sunday, values Valoriza Servicios Medioambientales at 734 million euros ($788.83 million), including debt and equity, Sacyr said in a filing to the stock market regulator.

Sacyr is now evaluating some bids for its facility services unit and plans to seek a partner for its water subsidiary before the end of 2023, a person familiar with the talks told Reuters. Sacyr received 15 offers for its two facility and environmental services units, according to the source.

Valoriza Servicios Medioambientales provides a range of services in the waste recycling chain such as collection, treatment and management of waste.

The company said it would use the additional cash to speed up growth in its concession infrastructure projects.

The equity alone is worth about 425 million euros and Sacyr will book a 270 million euro capital gain on the sale.

($1 = 0.9305 euros)

(Reporting by Matteo Allievi; additional reporting by Corina Pons; editing by Inti Landauro and Emelia Sithole-Matarise)