SEATTLE (Recycling Monster): Waste Management (WM) has received final court approval for a $30 million settlement resolving a class action lawsuit tied to its 2020 acquisition of Advanced Disposal Services (ADS).

The Dec. 18 order closes a case brought by Seafarers Officers & Employees Pension Plan, Seafarers Money Purchase Pension Plan, and United Industrial Workers Pension Plan, alleging WM misled investors about the merger’s timeline and financial risks, causing losses on senior notes issued to finance the deal.

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WM, which has denied wrongdoing, stated the settlement “will not impact WM’s financial or operational abilities” and is fully covered by insurance.

The lawsuit traces back to April 2019, when WM announced a $4.9 billion ADS acquisition and issued $4 billion in senior notes. Regulatory antitrust requirements and unexpected asset divestitures delayed the merger to Q3 2020, triggering mandatory redemption features on the notes and causing losses for investors.

Under revised terms, WM acquired ADS for $4.6 billion, divesting $835 million in assets to GFL Environmental, while reducing purchase costs by $300 million and benefiting from lower financing costs. Ancillary matters remain in final stages, but the settlement marks a key step in resolving litigation from the acquisition process.