Closed Loop Partners has made a significant move in the sustainability sector by acquiring Agri-Cycle, a leading provider of organic waste collection services tailored for the commercial and industrial sectors throughout the United States. This acquisition was successfully completed through Closed Loop Private Equity.
Founded in 2013, Agri-Cycle has experienced remarkable growth and is now recognized as a premier provider of organics management services. The company efficiently collects organic waste from over 2,400 locations across 14 states, playing a vital role in the fight against food waste.
Agri-Cycle offers a comprehensive suite of services to its clients, including educational programs, seamless collection processes, advanced processing and disposal methods, as well as data analytics and reporting capabilities designed to maximize cost efficiency and divert waste from overcrowded landfills.
With a diverse client base of over 850 commercial and industrial partners, including renowned names such as Hannaford, Agri-Cycle addresses the substantial $110 billion market for food waste management within the food industry. This acquisition comes at a crucial time, when a growing number of states, such as Maine, New Hampshire, Vermont, and Massachusetts, are implementing regulatory measures, including landfill disposal bans and organics diversion mandates. These regulations are significantly increasing the demand for reliable organic waste collection services.
Alarmingly, a large portion of the food produced in the U.S. ends up in landfills, translating into an estimated loss of hundreds of billions of dollars. This waste is a significant contributor to methane emissions from landfills, which have devastating environmental impacts. So the urgency for effective and scalable circular food waste management services has never been more critical.
In the aftermath of this acquisition, the management team at Agri-Cycle will join forces with Closed Loop Partners to broaden the company’s reach and enhance its service offerings. Closed Loop Partners brings a wealth of experience in running circular economy businesses spanning various materials, as well as access to an extensive network comprising some of the world’s largest corporations, institutional investors, and family offices. This collaborative effort positions Agri-Cycle for strategic growth at this pivotal moment in its evolution.
This acquisition stands as a key milestone for Closed Loop Private Equity, part of a broader buy-and-build strategy aimed at partnering with companies and scaling platforms across various sectors, including plastics and packaging, circular technology, food and agriculture, energy efficiency, textiles, and healthcare. The overarching goal is to develop, refine, and modernize circular supply chains while enhancing the infrastructure for recycling and reuse.
Through its acquisition of Agri-Cycle, Closed Loop Private Equity reinforces its commitment to advancing organics circularity—an essential focus area alongside efforts in plastics and packaging, textiles, and electronics. The firm’s extensive work in the organics sector encompasses a range of innovative solutions at every stage of the value chain, including platforms that support regenerative food production, cutting-edge technologies designed to extend food shelf life, strategies to mitigate post-consumer organic waste, field tests of compostable packaging, and the development of robust infrastructure for composting and anaerobic digestion. This holistic approach aims to create a more sustainable future by effectively managing organic waste and fostering a circular economy.
KEY QUOTES:
“Closed Loop Partners is proud to back Agri-Cycle, and partner with their management team to accelerate their path to scale and drive meaningful impact for organics circularity in the U.S. Through this acquisition, we can together capture the significant market opportunity for food and organic waste diversion in the U.S.”
Jackson Pei, Co-head of Closed Loop Private Equity at Closed Loop Partners
“The deep sector expertise and long tenured industry relationships of the Agri-Cycle team have laid a strong foundation for a platform positioned to scale both organically and through M&A.”
Daniel Phan, Co-head of Closed Loop Private Equity
“We look forward to supporting Agri-Cycle’s growth into a large national player for organics management, executing on a robust platform of acquisition targets and creating an ecosystem of best-in-class operating businesses in the industry.”
Derek Trott, Vice President of Closed Loop Private Equity
“Our partnership with Closed Loop Partners marks the next phase of growth for Agri-Cycle Energy, as we work with their team and ecosystem toward our shared goal of driving a circular economy for organics. Agri-Cycle has provided services to keep thousands of tons of food in circulation over the last decade. As the organics waste challenge grows more urgent, we look to continue meeting market demand, and work alongside Closed Loop Partners to accelerate impact at scale.”
Dan Bell, CEO of Agri-Cycle
