Dive Brief:
- Longwood, FL-based Waste Pro USA has bought Hoxie, AR-based Downum's Waste Services, adding to its expansive portfolio in nine southeastern states. The deal includes an operations facility, trucks, containers, residential and commercial contracts, and exclusive use of an on-site transfer station. Waste Pro will also take on 27 employees.
- With more than 230 municipal contracts and franchises, Waste Pro serves more than two million residential and 40,000 commercial customers.
- Downum provides trash and recycling services to residential and commercial customers in 13 Arkansas counties from Corning to West Memphis, with plans to branch out to surrounding counties, according to a company press release.
Dive Insight:
This is the year for mergers and acquisitions, as mid-sized and large companies purchase smaller ones to pump their density and expand their portfolios. For the smaller companies like Downum, it’s a sound move as the several-generation family operation will be able to continue to stretch and grow.
"After 40 years of the Downum family ownership, we were excited to find a company that is closely aligned with our core values and dedication to premium service. The only change will be the ability to grow throughout the state,” said Scott Downum, the company’s president, in a written statement.
This is not Waste Pro’s first transaction in the past month; the company continues on its current trajectory as one of the fastest growing privately-owned waste companies in the US expanding in both geographical region and types of investments. The company also recently cut more deals with Clean Energy to further build its CNG infrastructure.
