RecyCoal launches after MBO

REGENERATION business RecyCoal is opening new headquarters in Doncaster and is looking for opportunities in the UK and overseas after the £14.5m management buyout that established the firm.

Tom Allchurch, then chief executive of ATH Resources, led the MBO of subsidiary ATH Regeneration earlier this year in a deal that will see up to £40m invested in the new firm.

Renamed RecyCoal, the company is moving into offices at Spinner Point, in Doncaster, next month and is eyeing up opportunities in the US, Australia and in the UK where it already has a plant in Derbyshire processing 1.6m tonnes of waste per year.

Mr Allchurch said: “ATH is an income stock and it had two parts to it, this business and the mining business. The mining business is more suited to being an income stock.

“This business I think has substantial opportunities to expand overseas, particulary in Australia and required an awful lot of capital to do that. In order to have a go at that opportunity we were going to have to change that status quo.

“It was too big a risk for the company and its shareholders. This type of business requires a lot of equity and will take some time to generate returns.”

Mr Allchurch said the company would be looking in the UK and US to restore land scarred by abandoned coal mines and spoil heaps while the opportunities in Australia centre on reprocessing discarded material from mining.

RecyCoal employs more than 50 staff and has taken 2,500 sq ft of office space at Spinner Point for its new headquarters.

James Poskitt of GMI property, developers of Spinner Point, said: “Spinner Point is a top quality development in a fantastic location, it’s ideal for an organisation like RecyCoal who were looking for a place to establish roots and develop its growing business.”