Dive Brief:
- Florida-based Advanced Disposal Services Inc. has announced it will move ahead with plans to go public and it aims to raise up to $404.3 million in its IPO. The company will be listed as "ADSW" on the New York Stock Exchange, as reported by Reuters.
- The company is valued at about $1.76 billion. Advanced expects the 19.25 million-share offering to be priced around $18 to $21 per share.
- Deutsche Bank AG, Credit Suisse Group AG, Barclays Plc and UBS Group AG are leading the offering, while Canada Pension is listed as a shareholder with 5% stake, according to Bloomberg.
Dive Insight:
This is not the first time this year that Advanced Disposal has teased the idea of going public. The company announced terms for an IPO in early February, which included raising as much as $450 million, but quickly backed away from the plans later in the month due to unfavorable market conditions.
The country's fourth-largest solid waste company hasn't made a profit in the past five years, as reported by Bloomberg. Advanced posted a net loss of $33.6 million in 2015 on service revenue of $1.4 billion and a loss of $17.1 million on revenue of $1.4 billion in 2014. Though after a shaky start to the year, Advanced did report more positive results from its second quarter.
The company's trend of rapid growth — 13 acquisitions in 2015 alone — has continued this year. So far in 2016 Advanced has acquired Florida haulers FDS Disposal and Arwood Waste, among others. Due to increased efforts to grow and market conditions that are seemingly looking up, this new plan for an IPO may prove to be more successful.
