CPP Investments to invest in Advanced Drainage Systems
Advanced Drainage is a provider of water management solutions in the stormwater and on-site septic wastewater industries for use in the construction and agriculture marketplace.
Investment management organization Canada Pension Plan Investment Board (CPP Investments) has invested US$350 million in Advanced Drainage Systems Inc. (ADS) through the purchase of shares in a secondary transaction, increasing its total ownership stake in the company to 4.6%.
ADS is a provider of water management solutions in the stormwater and on-site septic wastewater industries for use in the construction and agriculture marketplace. Founded in 1966, Ohio-based ADS operates a global network of approximately 60 manufacturing plants and 30 distribution centres.
ADS is also said to be the second largest plastic recycler in North America, processing more than 500 million pounds of plastic annually.
“ADS represents the opportunity to invest in a high-quality operator that is a leader in its field. The company’s strong competitive positioning and runway for growth make it a good fit for our investment strategy,” said Michael Koen, managing director, head of relationship investments, CPP Investments.
Headquartered in Toronto, CPP Investments has offices in Hong Kong, London, Luxembourg, Mumbai, New York City, San Francisco, São Paulo, and Sydney. The organization had funds totalling $519.6 billion as of June 30, 2021.