The BINGO Industries Ltd (ASX: BIN) share price is pushing higher on Tuesday.
In morning trade the waste management company's shares are up 0.5% to $2.88 despite news of an Australian Competition and Consumer Commission (ACCC) investigation.
What has BINGO announced today?
In response to recent market speculation, BINGO has confirmed that the ACCC is conducting an investigation into the Building and Demolition (B&D) waste sector in New South Wales.
According to the release, the investigation commenced in late 2019 and relates to price adjustments in the New South Wales B&D waste sector. These price adjustments were implemented in July of last year.
BINGO is one of a number of market participants involved in the investigation.
What now?
The company revealed that it is taking the matter very seriously and is co-operating with the ACCC.
BINGO's managing director and CEO, Daniel Tartak, explained: "BINGO takes all such matters seriously. We will continue to be transparent and co-operative in our dealings with the ACCC, our shareholders and all our stakeholders."
But as the investigation is ongoing, BINGO is unable to provide any further comments at this stage.
FY 2020 guidance.
Much to the relief of its shareholders, a guidance update appears to have offset the news of the ACCC investigation.
According to the release, BINGO has reaffirmed the FY 2020 underlying EBITDA guidance range it provided to the market in November last year. This means the BINGO is on track to deliver underlying EBITDA in the range of $159 million and $164 million in FY 2020.
This represents a 50% to 54.5% increase on FY 2019's underlying EBITDA of $106.1 million. A key diver of this growth has been the game changing acquisition of rival Dial a Dump Industries last year for $578 million.
