Keter Environmental Services to merge with Waste Harmonics

Keter Environmental Services, a Stamford, Connecticut-based recycling and waste management company owned by global alternative asset management firm, TPG, and Victor, New York-based Waste Harmonics, a national waste service provider backed by global alternative investments firm Arcapita, have announced the companies have signed a definitive agreement to combine.

Following the transaction's closing, Keter CEO Kevin Dice will serve as CEO of the combined company. Waste Harmonics’ founder and CEO Mike Hess will assume the role of executive chairman, and Keter founder and president Steve Schlussel will continue in his role as president.

With deep industry experience, both Hess and Schlussel will remain active in supporting the combined company’s growth strategy under Dice’s leadership, the companies say.

Like Keter, Waste Harmonics says it leverages a national network of haulers and proprietary technology to coordinate, manage and optimize its customers’ waste and recycling programs. Together, Keter and Waste Harmonics will service nearly 70,000 business locations for 750 customers across a range of industries.

“This transaction comes at a time of considerable momentum for both Keter and Waste Harmonics and we are pleased to be joining forces to create a leading managed waste service provider,” Dice says.

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“Together, we will expand our offerings, enhance our sustainability reporting capabilities and continue to utilize the best data and technology to provide exceptional service to our growing customer base. We have long admired Waste Harmonics and look forward to partnering with Mike and his team as we leverage the complementary expertise and deep industry relationships that will continue to propel our collective success,” he adds.

“In the 20-plus years since our founding, Waste Harmonics has established a customer-first culture based on long-term business relationships and delivering a truly customized approach to all of our clients,” Hess says. “That approach has been the catalyst for our growth and together, Keter and Waste Harmonics are well-positioned to benefit from evolving customer preferences, including the centralization of procurement, focus on service quality and increased waste stream complexity. I’m excited to take on this new role as executive chairman of the combined company and to support the team in executing ... our shared goals.”

TPG, based in San Francisco, acquired Keter in 2021 and has partnered with the team to achieve strategic and organic growth. This transaction includes a significant investment from TPG Growth, the firm’s middle market and growth equity platform. Arcapita, Atlanta, acquired Waste Harmonics in 2019 and as part of this transaction, TPG Growth will purchase Arcapita’s stake in the company. Terms of the transaction were not disclosed.

“We are proud of what we have accomplished with Mike and the Waste Harmonics team over the last three years. Through our close partnership, we exponentially grew the company’s network to reach more than 35,000 locations, secured additional national and regional key accounts and supported four strategic acquisitions,” says Neil Carter, head of U.S. private equity at Arcapita. “We are confident that the company is well positioned for continued success as it enters its next chapter of growth with its new partners at Keter and TPG.”