A Samsung affiliate has emerged as one of the bidders for a major stake in Malaysia’s largest waste management company, Cenviro, signaling the growing interest of South Korean conglomerates in Southeast Asia’s environmental sector. According to industry reports, SK Ecoplant, a South Korean construction and environmental solutions firm, is moving ahead with plans to divest part of its holdings, putting a 30% stake in Cenviro up for grabs.
The deal has attracted global attention, with bidders ranging from France’s Veolia to Malaysia’s civil service pension fund, a Quantum Capital consortium, and local waste operator Alam Flora.
The Samsung affiliate’s participation adds intrigue, though the exact unit within the Samsung group has not yet been disclosed.
For investors, the move underscores how Southeast Asia’s waste management industry—long considered fragmented—is now drawing heavyweight interest as countries push for sustainability and new energy solutions.
Founded in 1991, Cenviro has been at the center of Malaysia’s waste management infrastructure, building the country’s first integrated waste management center in 1998 and securing multiple treatment licenses.
SK Ecoplant acquired its stake in May 2022 but began looking for buyers this April as part of a broad restructuring. The shift reflects how South Korean firms are rethinking their role in the global green economy, balancing legacy waste management assets with future-focused businesses.
For SK Ecoplant, the sale marks a strategic pivot. The company is scaling back traditional landfill and incineration operations while doubling down on next-generation recycling, particularly in semiconductors and batteries.
Branded as an “AI recycling” strategy, the pivot aims to align with booming demand for critical materials in electric vehicles and tech manufacturing.
Earlier this month, SK Ecoplant approved the sale of its landfill and incineration subsidiaries, Renewus and Renewon, to U.S. private equity giant KKR in a deal valued at $1.21 billion.
Once the divestments are complete, SK Tes—its fast-growing subsidiary specializing in IT asset disposition and electronics recycling—will remain the company’s sole environmental business.
For global investors and governments alike, the outcome of the Cenviro stake sale could serve as a bellwether for how multinational players view Southeast Asia’s environmental and recycling markets, making this deal one to watch.
