All of Cleanaway's shares are being bought by EQT AB's Sedum Group Pty Ltd, which will pay A$3.095 in cash per share, less any dividends. The transaction values the company at about A$9.3 billion including debt, or $6.5 billion.
Cleanaway's board said shareholders will receive a fully franked special dividend ranging from A$0.145 to A$0.190 before the deal is implemented.
The stock spiked as much as 21% in Sydney trading, the biggest rise since October 2011. The board unanimously recommended that investors vote for the transaction. Bloomberg data indicates this would sit among Australia's largest M&A deals this year, with Australia remaining one of the most active Asia Pacific markets for takeovers.
EQT has pursued other listed Australian targets, including Perpetual Ltd., but those bids were rejected. Meanwhile, Cleanaway joins a broader wave of public-to-private moves: Ingenia Communities Group and IDP Education Ltd. are in talks with private equity, and In August, oOh!Media Ltd. accepted an offer to delist in a transaction worth A$898 million.
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The transaction needs shareholder and regulatory approval. According to the company, a shareholder ballot is anticipated no later than the end of February 2027, with completion planned before March concludes. Barrenjoey Markets Pty Ltd. and Macquarie Capital are advising Cleanaway on the deal, and Ashurst Perkins Coie is serving as legal adviser.
Private equity is leaning into Australian assets, and this deal underscores that momentum. For holders of Cleanaway, the path from here runs through approvals and the timing outlined by the company; for everyone else, it is a reminder to watch valuation gaps in listed names that could invite bids.
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