(July 4): GFL Environmental Inc is considering a potential take-private transaction after drawing interest from buyout firms, people familiar with the matter said.
The North American waste manager has been speaking with advisers about its options, having received preliminary interest from investment firms in recent months, the people said, asking not to be identified discussing confidential information.
Shares in GFL rose as much as 11% in Toronto on Friday. The stock was up 7.5% at 10.26am local time, giving the company a market value of C$20.7 billion. Any take private would be one of the largest-ever involving a Canadian-listed company. GFL also trades in New York.
GFL has about US$7.1 billion in debt and its size could be a hurdle to a possible transaction. A buyer would need to convince founder and chief executive officer Patrick Dovigi to roll over his stake to make a deal work, according to the people.
Some suitors may consider taking a smaller stake in GFL instead of pursuing a full buyout, some of the people said. Deliberations are at an early stage and there’s no certainty they’ll end in a transaction. A representative for GFL declined to comment.
Any deal would underscore investor appetite for environmental services companies. Their recurring revenue, resilient cash flow and consolidation potential have made the sector attractive to infrastructure and buyout firms.
Apollo Global Management Inc and BC Partners last year acquired a majority stake in GFL’s environmental services unit. Also in 2025, GFL agreed to sell a minority stake in Green Infrastructure Partners, its road-building and construction business, to Energy Capital Partners in a deal valuing the unit at approximately C$4.25 billion.
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Founded in 2007, GFL describes itself as the “fourth-largest diversified” environmental services company in North America, providing waste management services throughout Canada and the US.
GFL announced in January that it was relocating its executive headquarters from Vaughan, Ontario to Miami Beach, Florida.
The company has completed scores of acquisitions in recycling, waste collection, environmental services and infrastructure. It’s currently working on completing a tie-up with Secure Waste Infrastructure Corp. to extend its reach in Western Canada and deepen its exposure to industrial waste management and energy infrastructure.
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