Business & Real Estate

Waste Management pays $3 billion for Advanced Disposal

FILE - In this Oct. 22, 2007 file photo, a Waste Management worker picks up trash in a Spring, Texas. Waste Management Inc. is expanding its eastern U.S. position by paying $3 billion for rival Advanced Disposal Services. The nation’s largest private collector of trash and recycling will pay $33.15 per share for Advanced Disposal, marking a 22 percent premium for the stock. It is also taking on $1.9 billion of the company’s debt.
FILE - In this Oct. 22, 2007 file photo, a Waste Management worker picks up trash in a Spring, Texas. Waste Management Inc. is expanding its eastern U.S. position by paying $3 billion for rival Advanced Disposal Services. The nation’s largest private collector of trash and recycling will pay $33.15 per share for Advanced Disposal, marking a 22 percent premium for the stock. It is also taking on $1.9 billion of the company’s debt. AP Photo

Waste Management is pushing into the eastern U.S. by paying $3 billion for its smaller rival, Advanced Disposal Services.

The country's largest collector of trash and recycling said Monday that it will pay $33.15 per share for Advanced Disposal, a 22 percent premium for the stock. It is also taking on $1.9 billion of the company's debt.

Waste Management Inc., based in Houston, has about 21 million customers. The deal will add more than 3 million residential and industrial customers, mostly in the eastern half of the U.S., where Advanced operates. Advanced Disposal Services, Inc. is based in Ponte Vedra, Florida.

The deal adds to Waste Management's existing collection and recycling centers.

The deal is expected to close by the first quarter of next year.

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