2024 Q1


In our last SektorReport, we took a closer look at the Renewable & Alternative Energy subsector in our Sustainability section. In this quarter's sector report, we take a closer look at the Waste Management & Technologies sub-sector, in particular the recent minority investment by Korea's Hyundai Corporation in the Dresden-based FLAXRES Group, an innovative company specializing in the recycling of photovoltaic systems.

EBITDA multiples in the sustainability sector have remained relatively constant between 8.0 and 10.0x since the third quarter of 2022. The Food, Agriculture & Forestry subsector (E7) currently has the highest valuations, while the Waste Management & Technologies subsector (E5) has the lowest. The Waste Management & Technologies sector is currently undergoing a transformation and is being fundamentally transformed by disruptive innovations. Hyundai's investment in FLAXRES illustrates the growing interest of global corporations in specialized companies that develop sustainable technologies. 

This type of strategic partnership signals a promising future for the subsector. Partnerships and acquisitions increase the potential to modernize and increase efficiency of traditional waste management processes. Further investments and partnerships are expected to provide additional momentum in the coming quarters, further stimulating the sector.

Our SektorReports are available in German language. If you have further questions regarding this topic, feel free to get in touch.