GFL Environmental has completed its acquisition of SECURE Waste Infrastructure, expanding the company’s environmental services platform and adding more than 2,000 SECURE employees to the organization.
The transaction closed under the terms of the previously announced arrangement agreement between GFL and SECURE.
GFL financed the acquisition through a combination of capacity available under its revolving credit facility, the issuance of 75,126,306 GFL subordinate voting shares and a new $1 billion senior secured term loan.
The new term loan matures around August 28, 2033, and carries interest at SOFR plus 200 basis points, or approximately 5% after accounting for cross-currency interest rate swaps entered into by GFL.
SECURE’s more than 2,000 employees are joining GFL, including members of the company’s management team. Allen Gransch and other SECURE executives are remaining with the business and will continue leading SECURE operations as both GFL employees and shareholders.
GFL said the acquisition significantly increases its scale and is expected to accelerate progress toward the multi-year financial targets outlined at its investor day in early 2025.
The company also expects the expanded business to increase its capacity to deploy capital while maintaining its targeted year-end net leverage in the mid-3x range.
GFL plans to update its 2026 financial guidance to incorporate SECURE when it reports third-quarter results later this year.
The financing also reflects continued access to institutional debt capital. GFL said the $1 billion senior secured term loan was significantly oversubscribed and did not affect the company’s credit rating.
Management said GFL remains committed to pursuing an investment-grade credit profile over the near to medium term.
SECURE common shares are expected to be delisted from the Toronto Stock Exchange around the close of business on September 2, 2026.
GFL subordinate voting shares issued to SECURE shareholders as part of the transaction are expected to begin trading on the Toronto Stock Exchange and New York Stock Exchange under the GFL ticker around September 2.
GFL is one of North America’s largest diversified environmental services companies, providing solid waste management services through operations across Canada and 19 U.S. states.
KEY QUOTE:
“We are excited to welcome the over 2,000 SECURE employees to the GFL family, including Allen Gransch and other SECURE management who are staying on to lead the SECURE business as both employees and shareholders of GFL. The acquisition of SECURE reinforces our goal of creating long-term equity value for our shareholders and is expected to significantly accelerate the achievement of the multi-year financial targets we outlined at our investor day in early 2025. Our significantly enhanced scale following the acquisition will allow us to materially increase our capital deployment capacity while maintaining our targeted year end Net Leverage in the mid 3s. We look forward to updating our 2026 guidance to include SECURE when we report our third quarter later this year. The Senior Secured Term Loan transaction closed at the end of August and was significantly oversubscribed, a continued testament to our long-standing relationship with high-quality debt investors, many of whom have been with us for well over a decade. The loan transaction did not impact our credit rating, and we remain committed to pursuing a path to investment grade in the near-to-medium term.”
Patrick Dovigi, Founder and Chief Executive Officer of GFL Environmental
