Keter Environmental, Waste Harmonics to boost US waste management with merger
American recycling and waste management company Keter Environmental Services and Waste Harmonics, a waste management consolidation service provider, have entered into a definitive agreement to merge.
The financial terms of the transaction were not disclosed.
Keter Environmental Services is currently owned by alternative asset management firm TPG, while Waste Harmonics, which is a technology-enabled waste service provider backed by Arcapita.
The parties plan to combine their operations to enhance sustainable recycling and waste programs across North America.
This strategic alliance brings together two industry leaders with a shared vision for sustainable waste management. Keter Environmental Services is known for providing top-tier sustainable recycling and waste programs, focusing on increasing landfill diversion rates and improving operational efficiency through advanced data and technology.
Meanwhile, Waste Harmonics, based in Victor, New York, manages waste contracts and third-party vendors, providing clients with cost-saving measures, consolidated invoicing and communications, and robust recycling and sustainability strategies.
The transaction’s close will see the leadership team reshuffled, with Kevin Dice, Keter Environmental Services’ current CEO, helming the combined company. Waste Harmonics’ Founder and CEO, Mike Hess, will take on the role of Executive Chairman, while Keter Environmental Services Founder and President, Steve Schlussel, will maintain his current position.
Mike Hess and Steve Schlussel, both seasoned industry professionals, will continue to support the company’s growth strategy under Kevin Dice’s leadership.
Kevin Dice said: “This transaction comes at a time of considerable momentum for both Keter and Waste Harmonics and we are pleased to be joining forces to create a leading managed waste service provider.
“Together, we will expand our offerings, enhance our sustainability reporting capabilities, and continue to utilize the best data and technology to provide exceptional service to our growing customer base.
“We have long admired Waste Harmonics and look forward to partnering with Mike and his team as we leverage the complementary expertise and deep industry relationships that will continue to propel our collective success.”
The amalgamation of Keter Environmental Services and Waste Harmonics, both of which use a network of haulers and proprietary technology to manage their clients’ waste and recycling programs, will cater to nearly 70,000 business locations for 750 customers across a multitude of industries.
Mike Hess said: “In the 20+ years since our founding, Waste Harmonics has established a customer-first culture based on long-term business relationships and delivering a truly customized approach to all of our clients.
“That approach has been the catalyst for our growth and together, Keter and Waste Harmonics are well-positioned to benefit from evolving customer preferences, including the centralization of procurement, focus on service quality, and increased waste stream complexity.”
The merger follows TPG’s acquisition of Keter Environmental Services in 2021, during which the team achieved significant strategic and organic growth. This new transaction will include a substantial investment from TPG Growth, the firm’s middle market and growth equity platform.
In 2019, Arcapita acquired Waste Harmonics and, as part of the new deal, TPG Growth will acquire Arcapita’s stake in the company.