SK ecoplant said Tuesday it has acquired TES, a Singapore-based electronic waste recycling company, for $1 billion as part of efforts to expand its presence in the burgeoning waste management market.

The construction arm of SK Group said it signed a deal to buy a 100 percent stake in TES from Navis Capital Partners, a private equity firm, in Singapore on Monday.

TES supplies waste management solutions for electronic devices and components to major IT equipment manufacturers. Its services include e-waste recycling, IT asset disposition, and battery recycling. The company runs 43 facilities in 21 countries across Asia, North America and Europe, and has logged SGD 465 million ($345 million) worth of sales in 2021.

With the latest acquisition, SK ecoplant aims to diversify its business portfolio in waste management services beyond incineration, and ultimately to further strengthen its zero-waste strategy.

The market for e-waste management is estimated to grow to $144 billion by 2028 amid a surge in demand for digital devices.

SK ecoplant, formerly SK Engineering & Construction, has been on a shopping spree in recent years in its big environment-friendly push. The firm acquired Environment Management Corp., the nation’s biggest wastewater treatment company, in 2020, and six smaller firms in the recycling area in 2021.

“By scaling up the recycling business, we are a step closer to realizing the Zero City, a circular economy model that pursues zero waste and zero carbon,” said Park Kyung-Il, CEO of SK ecoplant. “The acquisition of TES will be a milestone for SK ecoplant to lead the fast growing global e-waste market.”

By Ahn Ju-hee (dianahn@heraldcorp.com)