GFL Environmental Inc. Prices Upsized Offering of Senior Secured Notes

Rhea-AI Summary

GFL Environmental (NYSE: GFL) announced the pricing of US$750 million in 3.750% senior secured notes due 2025, upsized from US$600 million due to strong demand. The net proceeds will be used for general corporate purposes, including acquisitions. The notes will not be registered under the Securities Act and are offered primarily to qualified institutional buyers. GFL, based in Vaughan, Ontario, is a major player in the environmental services sector in North America, serving over 135,000 customers and managing waste for more than 4 million households.

Positive

• Oversubscribed offering increased from US$600 million to US$750 million.
• Proceeds will support acquisitions, indicating growth potential.

Negative

• None.

VAUGHAN, ON, Aug. 17, 2020 /PRNewswire/ - GFL Environmental Inc. (NYSE: GFL) (TSX: GFL) ("GFL") today announced the pricing of US$750 million in aggregate principal amount of 3.750% senior secured notes due 2025 (the "Notes") in a transaction that was significantly oversubscribed. The offering was upsized by US$150 million over the previously announced offering size of US$600 million. GFL intends to use the net proceeds from the offering of the Notes (the "Notes Offering") for general corporate purposes, including acquisitions.

The Notes being offered by GFL in the Notes Offering have not been, and will not be, registered under the Securities Act of 1933, as amended (the "Securities Act"), and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. The Notes are being offered only to qualified institutional buyers under Rule 144A and outside the United States in compliance with Regulation S under the Securities Act. In Canada, the Notes are to be offered and sold on a private placement basis in certain provinces of Canada.

This release shall not constitute an offer to sell or a solicitation of an offer to buy any security, nor shall there be any offer, solicitation or sale of any security in any state or jurisdiction in which such an offer, solicitation, or sale would be unlawful.

About GFL

GFL, headquartered in Vaughan, Ontario, is the fourth largest diversified environmental services company in North America, providing a comprehensive line of non-hazardous solid waste management, infrastructure & soil remediation and liquid waste management services through its platform of facilities throughout Canada and in 23 states in the United States. Across its organization, GFL has a workforce of more than 13,000 employees and provides its broad range of environmental services to more than 135,000 commercial and industrial customers and its solid waste collection services to more than 4 million households.

Forward-Looking Statements

This release includes certain "forward-looking statements", including statements relating to the potential for an offering and issuance of the Notes by GFL and the use of proceeds therefrom. In some cases, but not necessarily in all cases, forward-looking statements can be identified by the use of forward looking terminology such as "plans", "targets", "expects" or "does not expect", "is expected", "an opportunity exists", "is positioned", "estimates", "intends", "assumes", "anticipates" or "does not anticipate" or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", "will" or "will be taken", "occur" or "be achieved". In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances contain forward-looking statements. Forward-looking statements are not historical facts, nor guarantees or assurances of future performance but instead represent management's current beliefs, expectations, estimates and projections regarding future events and operating performance. Forward-looking statements are necessarily based on a number of opinions, assumptions and estimates that, while considered reasonable by GFL as of the date of this release, are subject to inherent uncertainties, risks and changes in circumstances that may differ materially from those contemplated by the forward-looking statements. Important factors that could cause actual results to differ, possibly materially, from those indicated by the forward-looking statements include, but are not limited to, the "Risk Factors" section of the Company's final prospectus relating to its initial public offering dated March 2, 2020 and the Company's other periodic filings with the SEC and the securities commissions or similar regulatory authorities in Canada. These factors are not intended to represent a complete list of the factors that could affect GFL. However, such risk factors should be considered carefully. There can be no assurance that such estimates and assumptions will prove to be correct. You should not place undue reliance on forward-looking statements, which speak only as of the date of this release. GFL undertakes no obligation to publicly update any forward-looking statement, except as required by applicable securities laws.

For more information, contact:
Patrick Dovigi
Founder and CEO
905-326-0101
pdovigi@gflenv.com

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SOURCE GFL Environmental Inc.

FAQ

What is the recent bond offering by GFL Environmental?

GFL Environmental has priced a US$750 million bond offering of 3.750% senior secured notes due 2025.

Why did GFL upsized their bond offering?

The bond offering was upsized from US$600 million to US$750 million due to significant oversubscription.

How will GFL use the proceeds from the bond offering?

GFL plans to use the net proceeds for general corporate purposes, including acquisitions.

Who are the buyers of GFL's senior secured notes?

The notes are being offered to qualified institutional buyers under Rule 144A and in compliance with Regulation S.

What are the risks associated with GFL's bond offering?

The notes have not been registered under the Securities Act and may not be offered or sold in the U.S. without registration.