The competition watchdog has waved through Bingo's acquisition of rival Dial-a-Dump on condition the ASX-listed waste management firm divests its eastern Sydney recycling centre.
The Australian Competition and Consumer Commission said Thursday it will not oppose the proposed $578 million acquisition of Dial-a-Dump Industries, but that the sale of the Banksmeadow processing facility was needed to maintain competition in Sydney's eastern suburbs and CBD.
"Our acquisition of DADI will not only be transformational for Bingo, but also for recycling in the greater Sydney region," Bingo chief executive Daniel Tartak said in a statement.
Bingo expects to complete the acquisition next month and to save $15 million annually through integration of the businesses.
"This will help ensure our vision for a more sustainable Sydney is realised, as we push for a waste-free Australia and move to build a circular economy through diverting waste from landfill," Mr Tartak said.
Bingo last week flagged a poor first-half performance - since confirmed with a 25 per cent decline in profit - prompting its shares to halve in value.
The company on Thursday confirmed an on-market buy-back of up to $75 million of its shares.
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