GFL Environmental signs US$835-million deal to buy assets in 10 U.S. states - InfoNews

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GFL Environmental signs US$835-million deal to buy assets in 10 U.S. states

The logo for GFL Environmental Inc. is shown in a handout. GFL Environmental Inc. has signed a deal to buy a portfolio of integrated solid waste collection, transfer, recycling and disposal assets for US$835 million in the United States. THE CANADIAN PRESS/HO
June 24, 2020 - 12:14 PM

VAUGHAN, Ont. - GFL Environmental Inc. has signed a deal to buy a portfolio of integrated solid waste collection, transfer, recycling and disposal assets in the United States for US$835 million.

GFL said Wednesday the deal extends its reach into new and adjacent markets and forms a base for potential deals.

"Even during these unprecedented times, we continue to successfully execute on our growth strategy of pursuing strategic and accretive acquisitions," GFL chief executive Patrick Dovigi said in a statement.

"This transaction presents GFL with a unique opportunity to significantly expand our U.S. footprint through the acquisition of a high quality, vertically integrated set of assets in both our existing and adjacent fast growing U.S. markets."

The assets are being sold as a result of the acquisition of Advanced Disposal Services Inc. by a wholly owned subsidiary of Waste Management Inc., which announced a deal earlier this year.

The assets being acquired by GFL include 32 collection operations, 36 transfer stations and 18 landfills supported by 380 collection vehicles across 10 U.S. states.

The acquisition is subject to certain customary closing conditions, including approval by the U.S. Department of Justice and the closing of the WM-ADS Transaction.

It is expected to close in the third quarter.

Earlier this year, GFL raised $2.9 billion, including $1.9 billion from its initial public offering and $1 billion through a concurrent financing.

The company provides non-hazardous solid waste management, infrastructure and soil remediation and liquid waste management services in Canada and the United States.

This report by The Canadian Press was first published June 24, 2020.

Companies in this story: (TSX:GFL)

News from © The Canadian Press, 2020
The Canadian Press

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