Brown Gibbons Lang & Company, a leading independent investment bank and financial advisory firm, announces that GFL Environmental Inc., the fourth-largest diversified environmental services company in North America, has sold its Environmental Services business to funds managed by affiliates of Apollo and BC Partners for an enterprise value of $8 billion. BGL’s Environmental investment banking team served as GFL’s financial advisor in the transaction.
Headquartered in Vaughan, Ontario, GFL聽is the fourth largest diversified environmental services company in North America, providing solid waste management services through its platform of facilities across Canada and in more than half of the U.S. states. Across its organization, GFL has a workforce of more than 15,000 employees.
GFL expects to use the proceeds from the sale to repay debt, making available up to $2.25 billion for the repurchase of GFL shares, subject to market conditions, and the balance for transaction fees and general corporate purposes. The sale allows GFL to accelerate its balance sheet deleveraging with a path to investment grade levels, deploy incremental capital across organic growth initiatives and solid waste M&A, and return of capital to shareholders through share repurchases and future dividend increases.
Pursuant to the transaction agreement, GFL will retain a 44% equity interest in the Environmental Services business, and the Apollo Funds and BC Funds will each hold a 28% equity interest.