GFL Environmental Inc. is set to acquire Secure Waste Infrastructure Corp. in a deal valued at approximately $6.4 billion. This strategic acquisition expands GFL’s footprint in the waste management sector, particularly in Western Canada and North Dakota.
Details of the Acquisition
Secure Waste operates an extensive network with over 80 locations. Its assets include:
- 12 landfills
- 55 waste treatment facilities
- 12 recycling facilities
- 98 injection wells
- 5 transfer stations
As part of the acquisition agreement, Secure’s shareholders have options for their shares. They can choose to receive:
- $24.75 in cash
- 0.4195 of a GFL subordinate voting share
- A combination of both cash and GFL shares
However, there are stipulations regarding the payment structure. Cash payments are capped at 20% of the total consideration for Secure shareholders, while GFL shares are limited to 80% of the total amount being paid.
Market Reaction and Next Steps
Following the announcement, Secure shares closed at $21.36 on the Toronto Stock Exchange. The acquisition must receive approval from Secure shareholders before completion.
The deal is anticipated to close in the latter half of the year, further solidifying GFL’s position in the waste management industry.
