CPE News (2.26.2023) – BlackRock Alternatives, through a fund managed by its Diversified Infrastructure business, has acquired a majority interest in Environmental 360 Solutions Inc. Financial terms were not disclosed.
BlackRock has acquired equity interests from majority shareholder Almada Inc. and OPSEU Pension Plan Trust Fund and Oaktree Capital Management L.P. Canadian Business Growth Fund increased its existing equity position as part of the transaction.
Donato (Danny) Ardellini, founder and CEO, will continue in his leadership role and will maintain his significant ownership stake.
Founded by Ardellini, Aurora, Ontario based Environmental 360 Solutions is a vertically integrated provider of waste management, environmental, and recycling/circular economy services to over 30,000 Canadian municipal, commercial and industrial customers. The company operates throughout Alberta, British Columbia, Ontario, Quebec, and Saskatchewan.
Environmental 360 Solutions has made 35 acquisitions since 2021, or 50 since 2018.
photo credit: Environmental 360 Solutions
Environmental 360 Solutions Inc. Announces Closing of Acquisition by BlackRock Alternatives
AURORA, ON , Feb. 16, 2023 /CNW/ – Environmental 360 Solutions Inc. (“E360S” or the “Company”) and investors led by BlackRock Alternatives (“BlackRock”), through a fund managed by its Diversified Infrastructure business, jointly announced today the closing of a transaction through which BlackRock has acquired a majority interest in E360S. Donato (Danny) Ardellini, the Company’s Founder and CEO, will continue in his leadership role at E360S and will maintain his significant ownership stake.
Mr. Ardellini, on behalf of E360S and its employees, said, “This partnership with BlackRock is a significant milestone for E360S and represents the next stage of the Company’s evolution. We now have over 1,500 dedicated employees across five provinces in Canada and over 30,000 customers. BlackRock’s investment is a reflection of the hard work of all of our employees—without them, our continued success would not be possible.”
Mr. Ardellini added, “Having founded the Company, it was important to me that we partner with an organization with the same strong values as E360S as we sought resources to support our growth. It was clear at our first meeting with the BlackRock team that they would be a great fit with the culture that has been established at the Company, and I welcome their partnership as we continue to deliver against our strategy to build a leading, integrated North American provider of solid waste and environmental services.”
Mark Florian, Global Head of Diversified Infrastructure, BlackRock, said, “E360S provides critical, non-discretionary services that generate resilient cash flows, supported by contracts with inflation escalators. The Company’s infrastructure, key permits and scale alongside increasingly stringent regulation result in substantial barriers to entry. We look forward to partnering with Danny and E360S’ highly experienced management team to support the Company’s ongoing growth.”
Adi Blum, Managing Director, Diversified Infrastructure, BlackRock, said, “We are excited to invest on behalf of our clients in a company with the entrepreneurial spirit and growth trajectory of E360S. In addition to capital, BlackRock will provide E360S with the right strategic support to achieve its growth plans. There is significant white space to grow the Company’s sustainability and circularity services, as well as continuing to grow in traditional solid waste and environmental services.”
BlackRock has acquired equity interests from the Company’s key institutional investors, including Almada Inc. (“Almada”). As founding investor and majority shareholder, Almada provided the capital and partnership to E360S management to establish the Company. Additional investors whose interest Blackrock has acquired include OPSEU Pension Plan Trust Fund (“OPTrust”) and Oaktree Capital Management L.P. (“Oaktree”). One of E360S’ early investors, Canadian Business Growth Fund, increased its existing equity position as part of the transaction.
Mr. Ardellini commented, “We thank Almada and their whole team, as well as OPTrust and Oaktree, for their support and partnership.”
BMO Capital Markets acted as financial advisor and Miller Thomson LLP served as legal advisor to E360S in connection with the transaction. RBC Capital Markets acted as financial advisor and Blake, Cassels & Graydon LLP served as legal advisor to BlackRock.
Financial terms of the transaction were not disclosed.
Founded by industry veteran Donato Ardellini, E360S is dedicated to becoming North America’s leading and most trusted environmental management company.
E360S is a vertically integrated provider of waste management, environmental, and recycling/circular economy services to over 30,000 Canadian municipal, commercial and industrial customers. E360S is based in Aurora, Ontario, Canada and operates throughout Alberta, British Columbia, Ontario, Quebec, and Saskatchewan. For additional information, please visit the E360S website at http://www.e360s.ca.
About BlackRock Alternatives
BlackRock Alternatives serves investors seeking outperformance in infrastructure, private equity, credit, real estate, hedge funds and multi-alternatives. We strive to bring our investors the highest quality investments by drawing upon our global footprint, superior execution capabilities and position as a preferred partner. BlackRock manages $318 billion in alternative investments and commitments on behalf of clients worldwide as of December 31, 2022.
SOURCE Environmental 360 Solutions