Waste Industry M&A: GFL's C$6.4B SECURE Deal Leads Q3

GFL Environmental's major Western Canadian acquisition highlights continued consolidation as WM, Republic Services, Waste Connections and Casella pursue additional waste and recycling businesses.

MONTREAL (RecyclingMonster): North America's major publicly traded waste management companies remained active in mergers and acquisitions during the third quarter of 2026, led by GFL Environmental's acquisition of SECURE Waste Infrastructure Corp. for an enterprise value of approximately C$6.4 billion.

WM, Republic Services, Waste Connections and Casella Waste Systems also continued pursuing acquisitions to expand collection networks, disposal capacity, recycling operations and regional market presence.

GFL Environmental Expands Western Canadian Waste Infrastructure

GFL completed its acquisition of SECURE on September 1, 2026, substantially expanding its waste processing and disposal infrastructure in Western Canada.

The transaction was originally structured with approximately 80% share consideration and 20% cash consideration. GFL subsequently confirmed that closing financing included new shares, revolving credit capacity and a US$1 billion senior secured term loan.

GFL completed 13 acquisitions during the first nine months of 2026, including three in the third quarter, according to Waste Dive's review of company earnings discussions.

CEO Patrick Dovigi indicated that SECURE's cash flow and asset base could support additional acquisitions, particularly in Western Canada. The company has discussed approximately US$1 billion in annual acquisition deployment under normalized conditions.

WM and Republic Services Continue Acquisition Programs

WM reported total acquisition consideration of US$239 million during the first nine months of 2026, including US$4 million in the third quarter. Management continues evaluating smaller collection and disposal acquisitions following integration work associated with its Stericycle transaction.

During its third-quarter earnings discussions, WM also outlined a potential US$250 million transaction expected to close in early 2027.

Republic Services reported approximately US$1.12 billion in cash invested in acquisitions through September 2026. Management expects acquisition spending of at least US$1.2 billion for the full year, with smaller transactions remaining central to its strategy.

Waste Connections and Casella Target Regional Expansion

Waste Connections reported completed acquisitions representing approximately US$130 million in annualized revenue through the third quarter. Its transactions included collection operations in the western United States, while management continued evaluating additional opportunities for late 2026 and early 2027.

Casella Waste Systems completed six acquisitions through September, representing more than US$170 million in aggregate annualized revenue.

The company remains focused on increasing collection density and expanding transfer, disposal and recycling infrastructure within its Northeastern and Mid-Atlantic operating regions.

Casella is also evaluating acquisition opportunities alongside its newly announced profitability improvement program, which targets an adjusted EBITDA margin of at least 26% by the end of 2029.

Waste Industry Consolidation Outlook

The five companies continue to identify opportunities for acquisitions, although spending levels and financial priorities vary.

For waste and recycling operators, consolidation can expand access to collection volumes, transfer stations, processing facilities and disposal assets. Financial returns, however, depend on integration costs, operating performance and the prices paid for acquired businesses.

Acquisition consideration, enterprise value and annualized revenue from acquired operations represent different financial measures and should not be compared as equivalent spending totals.

Courtesy: www.wastedive.com