Waste Eliminator, a platform company of Allied Industrial Partners (AIP), has acquired Gainesville Waste & Recycling and Dawsonville Waste & Recycling, both based in the Atlanta metropolitan area.
AIP acquired Waste Eliminator, a regional provider of waste collection, storage, removal, hauling, recycling and landfill services to industrial companies, commercial businesses, and governments across Metro-Atlanta, in June 2022. AIP and members of Waste Eliminator’s management team have committed more than $150 million in capital to grow the platform. Waste Eliminator was founded in 2006 and is led by CEO Wes Turner.
“We viewed AIP as the right partner for our next chapter due to their culture, collective backgrounds, and impressive track record,” said Mr. Turner. “With AIP’s resources and relationships, we are confident that we will be able to quickly scale the business and expand our service offering to assist our customers with achieving their sustainability goals.”
The add-on acquisitions of Gainesville Waste and Dawsonville Waste are the first add-on acquisitions completed by Waste Eliminator under AIP ownership. Gainesville Waste was founded in 2007 by Kacy Cronan, and he will remain with Waste Eliminator as a partner, a member of the company’s board of directors, and a member of its management team focused on business development.
“The acquisition of GWAR is a game-changer for Waste Eliminator, bringing important disposal and recycling infrastructure to the platform, and offering additional recycling capabilities to better serve our customers,” said Mr. Turner. “The combined platform is now the largest independent waste management and environmental services business in metro Atlanta. With the support from Allied Industrial Partners, we are well-positioned to integrate these companies and grow further.”
Allied Industrial invests in lower and middle-market companies that have EBITDA from $2 million to $25 million. Sectors of interest include industrial rentals, manufacturing, distribution, environmental services, and infrastructure sectors. The firm was founded in 2019 and is headquartered in Houston.
“When we invested in Waste Eliminator, we saw an attractive opportunity to grow the platform and gain economies of scale in a fragmented market, and we’re pleased to be delivering on that vision,” said managing partners and co-founders Bradford Rossi and Philip Wright in a released statement. “Our continued investment in Waste Eliminator will further enhance the Company’s recycling capabilities, which also aligns with AIP’s own sustainability goals.”
For the acquisition of Waste Eliminator, AIP used Eaton Partners as its placement agent to raise capital from a group of limited partners.
“Congratulations to the AIP team on another tremendous capital raise,” said Peter Martenson, a managing director at Eaton Partners. “Waste Eliminator represents a substantial opportunity to leverage AIP’s already successful approach to hands-on investing in high-growth companies in which the firm can implement operational value-add initiatives.”
Eaton also served as AIP’s placement agent for the firm’s acquisition of CES Power in July 2021. Memphis-headquartered CES Power is a provider of power services for the broadcasting, entertainment, emergency response, and industrial sectors.
Over the past 18 months, AIP has closed 7 acquisitions, consisting of 3 platform investments and 4 add-on acquisitions.
© 2022 Private Equity Professional | July 12, 2022