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- Over a three and a half year holding period, Waste Harmonics’ annual revenue almost quadrupled to $400 million
Arcapita Group Holdings Limited (“Arcapita"), the global alternative investment firm, announced today that it has sold Waste Harmonics (the “Company”), a technology-enabled service provider of waste management solutions, to Keter Environmental Services, a leading recycling and waste management company. Keter is backed by TPG, a leading global alternative asset management firm.
Arcapita’s exit of Waste Harmonics follows a holding period of approximately three and a half years during which the Company’s revenue nearly quadrupled and is now approaching $400 million. Over this period, Arcapita worked closely with the Waste Harmonics management team, focusing on a range of growth initiatives such as cross-selling, leveraging the Company’s nationwide presence to secure additional client locations, and winning new accounts. Arcapita also supported Waste Harmonics in completing four strategic acquisitions including Talismark Group, Contelligent, Meridian Alliance Partners, and New Market Waste Solutions.
Under Arcapita’s leadership, Waste Harmonics developed a network of over 5,000 vendors across more than 25,000 locations in North America, and is today recognized as a partner-of-choice for blue chip companies with regional, national, and global footprints. The successful sale is a testament to Arcapita’s focused business strategy, and its efforts towards identifying and growing attractive businesses.
Waste Harmonics will be combined with Keter Environmental Services, a recycling and waste management company acquired by TPG Growth in 2021. This combination will benefit from evolving customer preferences, including the centralization of procurement, focus on service quality, and increased waste stream complexity.
Atif A. Abdulmalik, Arcapita’s Chief Executive Officer, said: “Waste Harmonics is one of our most successful exits to date and provides further validation of our investment strategy which focuses on acquiring tech-enabled businesses across defensive sectors with strong growth potential. We are pleased to have supported Waste Harmonics in its journey and are proud of what we have accomplished through this partnership.”
Martin Tan, Arcapita’s Chief Investment Officer, commented: “There has been a growing need for more cost-effective and efficient waste management solutions, a gap that we were able to identify when we purchased Waste Harmonics in 2019. With our support, Waste Harmonics has played a key role in accelerating this shift towards more cost-efficient waste management solutions through its extensive vendor network. We will continue focusing on acquiring technology-driven businesses that are asset light, generate strong cash flows, and have the ability to scale across markets.”
Michael Hess, Chief Executive Officer, Waste Harmonics said: "Arcapita has been a strong strategic shareholder supporting the development of the business. Our growth accelerated well beyond expectations, and we have developed a clear vision to continue our growth trajectory. I am personally grateful for the trust placed in me by the shareholders and I look forward to continuing to enhance our value proposition so that our customers enjoy easy access to high quality and cost-efficient waste management solutions across the globe.”
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| Arcapita | Brunswick Group |
About Arcapita Group
Arcapita Group Holdings Limited is a premier alternative asset manager with a total transaction value in excess of $30 billion across more than 100 investments. The firm’s principled approach provides a strong, ethical compass that fosters trust, excellence and partnership with stakeholders. With over 25 years of management expertise, aligning Arcapita Group’s interests with that of our clients, we conduct business in a fair and transparent manner. Arcapita Group has offices in the US, UK, Saudi Arabia, Singapore and an affiliated office in Bahrain giving us a unique vantage point to understand tomorrow’s evolving investment landscape.
About TPG
TPG is a leading global alternative asset management firm, founded in San Francisco in 1992, with $137 billion of assets under management and investment and operational teams around the world. TPG invests across five multi-strategy platforms: Capital, Growth, Impact, Real Estate, and Market Solutions and our unique strategy is driven by collaboration, innovation, and inclusion. Our teams combine deep product and sector experience with broad capabilities and expertise to develop differentiated insights and add value for our fund investors, portfolio companies, management teams, and communities. For more information, please visit www.tpg.com or on X @TPG.
About Keter Environmental Services
Keter Environmental Services is a data-first recycling and waste management company that provides first-class sustainable recycling and waste programs nationwide. Keter works with forward-thinking companies who understand that increasing landfill diversion rates, improving operational efficiency, and using technology for data and reporting are crucial to an effective and sustainable business strategy. Keter approaches every opportunity with the knowledge that each company they work with is unique in its waste streams, needs, goals, and challenges. For more information, please visit www.Keteres.com.
About Waste Harmonics
Based in Victor, New York, Waste Harmonics is a unique, technology-enabled managed service provider in the waste industry. The company manages waste contracts and third-party vendors, and ultimately helps customers with what every business generates: waste. Customized, technology-driven program solutions that address waste generator expectations and requirements, dealing with single-source management of service suppliers, quality of service, reduction of costs, data and reporting analytics, consolidated invoicing and landfill diversion. Waste Harmonics works with diverse business clients across North America to deliver cost savings, consolidation of invoicing and communications, and recycling and sustainability strategies.
