Veolia Environment SA acquired Spanish waste-management company Proactiva Medio Ambiente after Barcelona-based Fomento de Construcciones & Contratas SA agreed to sell its stake to the French waste utility.

Half of FCC's stake in Proactiva was sold to Veolia Environment for $198 million, increasing its capital gain by $107 million. Proactiva conducts its operation in several South American countries such as Brazil and Colombia.

Veolia, the world's largest water and waste-management utility, is expected to expand its growth as the company starts operation in areas with emerging mining, oil, and gas industries.

The French company has a history of shedding its debt through selling its assets, making this recent move unlike any of the company's past approaches. According to Veolia's Chief Executive Officer, the company is eyeing "high growth" economies in Asia and the Middle East.

The purchase is subject to the regulators' approval, projected to be finalized before the year ends.