Waste Connections acquires 30 waste treatment, disposal facilities in Canada

Waste Connections of Canada Inc., based in Ontario, has entered into an agreement with Secure Energy Services Inc. to acquire a portfolio of 30 waste treatment and disposal facilities in western Canada for an aggregate purchase price of approximately $792 million plus certain adjustments as provided in the definitive purchase agreement.

Waste Connections of Canada, a subsidiary of The Woodlands, Texas-based Waste Connections Inc., will acquire 18 treatment, recovery and disposal facilities, six landfills, four saltwater disposal injection wells and two disposal caverns. The oil and gas exploration and production (E&P) waste treatment and disposal facilities are in key geographic Canadian oil and gas basins and serve a diverse customer base, Waste Connections says. The combined annual revenue is currently estimated at approximately $221 million.

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“This acquisition represents a unique opportunity for outsized value creation from the expansion of our presence in Canada through a network of E&P waste treatment and disposal assets located in the most attractive and growing basins,” Waste Connections CEO Ronald Mittelstaedt says.

The transaction remains subject to customary closing conditions, including receipt of Canadian Competition Bureau approval. Waste Connections expects the transaction to close during the first quarter of 2024.

“Following closing, the transaction is expected to materially improve our financial position and capital allocation flexibility, marking a pivotal moment for our company to concentrate our resources, accelerate innovation and redeploy capital in areas of growth for Secure,” Secure CEO Rene Amirault says. “The proactive decision to proceed with the divestitures underscores our resilience and adaptability as we continue to prioritize maximizing value for our shareholders, customers and employees.”

Secure is a waste management and energy infrastructure business headquartered in Calgary, Alberta. The company’s infrastructure network located throughout western Canada and North Dakota includes waste processing and transfer facilities, industrial landfills, metal recycling facilities, crude oil and water gathering pipelines, crude oil terminals and storage facilities.