Ramky Enviro Engineers is in separate talks with Canada’s alternate asset manager Brookfield Asset Management, American private equity fund Blackstone group LP and British developmental finance institution CDC Group Plc to sell majority stake in its non-municipal waste management business which has an enterprise value of Rs 3,000-3,500 crore.

The company, which put off its public offer in 2013, has appointed investment bank Barclays to find either a strategic or a financial partner for the business, people with direct knowledge of the development told ET. It will use the money raised to expand its capacity in India as well as overseas, they said.

“The company is open to have investors in the main company, which includes both municipal and non-municipal business,’’ said one of the persons, who did not wish to be identified. “Since private equity investors are uncomfortable with the bureaucratic ridden municipal waste management business, the company is planning to spin off its municipal waste business.’’

Non-municipal waste business includes hazardous waste, biomedical and e-waste, recycling waste water, paper and plastic waste. “In the first leg of the deal, the company will hive off its municipal waste division and in the second leg of the deal it will bring in a majority strategic partner for the remaining business,” a second person said. The deal, if concluded, will give an exit to the company’s early private equity investor Standard Chartered IL&FS Fund.

In 2009, Standard Chartered picked up a minority stake in the company for Rs 200 crore. Started in 1994 by Alla Ayodhya Rami Reddy, the company is part of Hyderabad-based Ramky Group.