IROQUOIS – For the second time in three years, a large South Dundas employer has been sold. Terrapure Environmental, which purchased the bio-solids division of Third High Farms in June 2018, has sold most of its assets to GFL Environmental.
The $927.5 million deal bundles the Iroquois facility, along with Terrapure Environmental’s other assets, except for its battery recycling division, to one of the largest environmental services companies in North America.
“Terrapure’s assets are highly complementary to our existing solid and liquid waste footprint in Canada,” said Patrick Dovigi, founder and CEO of GFL Environmental in a release March 16th. “All of their service offerings are currently provided by GFL resulting in expected integration and cross-selling opportunities, as well as the expansion of our operations into new regions.”
Terrapure has about 1,600 employees and operates a fleet of over 500 vehicles. Including the Iroquois facility on Bath Road, Terrapure has operations in eight provinces. The company generated a revenue of about $365 million in 2020 and has over 7,000 customers.
GFL says that the purchase will see at least $12.5 million per year in cost savings due to the overlap of GFL and Terrapure operations. It reported fourth quarter 2020 revenues of $948.17 million (US dollars).
“We are excited about the opportunities that lie ahead with this acquisition and look forward to welcoming the almost 1,600 employees of Terrapure to the GFL family later this year,” Dovigi said.
GFL Environmental was founded in 2007 and has operations across Canada and in 27 states in the US including the large Lafleche landfill in North Stormont.
Terrapure purchased the bio-solids division of Third High Farms in June 2018 from the Swerdfeger family for an undisclosed amount. At the time, Terrapure officials said that Third High had been purchased to expand the company’s footprint into Eastern Ontario.
The deal requires approval by the Competition Bureau of Canada and is expected to close in the third or fourth quarter of 2021.