Clairvest Realizes 6.8x on the Sale of Winters Bros. Waste Systems of Long Island to Waste Management of New York, L.L.C.
TORONTO, July 15, 2024 (GLOBE NEWSWIRE) — Clairvest Group Inc. (TSX: CVG) (“CVG”), today announced that it, a partnership managed by it, Clairvest Equity Partners V (“CEP V”, collectively “Clairvest”) and the equity holders of Winters Bros. Waste Systems of Long Island (“WBLI” or the “Company”) have sold their interests in WBLI to Waste Management of New York, L.L.C.
WBLI is a solid waste management collection, processing and recycling company based in Long Island, New York. The Company’s operations include a diverse set of collection services, 12 transfer, recycling and processing locations and a residential dual stream recycling facility.
In March 2015, Clairvest partnered with members of the Winters family to buy back from Progressive Waste the waste management assets located on Long Island which Clairvest and the Winters family had sold in 2007. Over the last nine years, the Company has grown significantly, completing 11 acquisitions, growing EBITDA by close to 500%, and has become the leading waste management player in the Long Island market with a growing presence in New York City.
Upon closing, Clairvest’s portion of sale proceeds was approximately US$191 million (CVG’s portion is US$57 million). On a constant currency basis, the sale proceeds for CVG represent a multiple of capital invested of 6.8x and an IRR of 23%. Clairvest and the Winters family continue to hold real estate assets associated with the transaction which could generate incremental proceeds.
“We are honored to have partnered with the Winters family over three separate partnerships spanning 18 years. The Winters family and their management team are exceptional – they are hardworking, high integrity leaders and partners, generous community members and astute, successful businesspeople who have generated tremendous financial results. We are proud to have been part of their journey,” said Michael Castellarin, Managing Director at Clairvest.
“Long Island has been our home market since my father started in the waste management business in the 1950s. We were excited to come back in 2015 and we are proud to have built a highly respected industry leader once again in this market. It has been a pleasure working with Michael, Doug, Jim, and Davey and the broader Clairvest team who have been great partners from the outset,” said Sean Winters.
“Clairvest brings a unique approach to private equity and is focused on backing owner-operators to build great businesses. They have always been there to help – being a sounding board and sharing insights and analysis, which has contributed to our success. More important, they have been honorable, true partners to our family and supported us in both good times and bad times. They do what they say just like the Winters family and that is why we have been good partners for 18 years,” said Jimmy Winters.
About Clairvest
Clairvest’s mission is to partner with entrepreneurs to help them build strategically significant businesses. Founded in 1987 by a group of successful Canadian entrepreneurs, Clairvest is a top performing private equity management firm with over CAD$4 billion of capital under management. Clairvest invests its own capital and that of third parties through the Clairvest Equity Partners limited partnerships in owner-led businesses. Under the current management team, Clairvest has initiated investments in 66 different platform companies and generated top quartile performance over an extended period.
Contact Information
Stephanie Lo
Director of Investor Relations and Marketing
Clairvest Group Inc.
Tel: (416) 925-9270
stephaniel@clairvest.com
