Waste Connections to buy U.S. solid waste firm Groot Industries
Texas company moved its operating headquarters to Toronto last year when its bought Ontario's Progressive Waste Solutions
TORONTO—A North American waste service company, which relocated to Canada last year, has acquired the largest private solid waste service firm in Illinois.
Waste Connections Inc. announced Jan. 4 it has agreed to buy Groot Industries Inc. for an undisclosed price. Still family-owned, Groot was founded in 1914 and serves cities and businesses mainly in the northeast part of the state.
“With a majority of its operations contiguous to the Rock River assets we acquired in November 2015, Groot solidifies our leading position in these markets, increases potential internalization benefits of their disposal volumes into our existing landfills, and further expands our platform for additional growth opportunities,” Ronald Mittelstaedt, the company’s chairman and CEO, said in a statement.
Waste Connections said Groot serves about 300,000 customers and owns half a dozen collection operations, six transfer stations and a pair of recycling facilities. The company earned approximately $200 million in revenue last year.
Groot will retain its current management team after the transition.
Waste Connections moved its operating headquarters from Texas to Toronto last year when it acquired Ontario’s Progressive Waste Solutions Ltd. in an all-stock deal. The company maintains separate headquarters in Texas, and according to Bloomberg, relocated to Canada to take advantage of the lower corporate tax rate.