Chicago, IL (PRWEB) January 10, 2013
Livingstone, the leading independent, international investment banking firm, is pleased to announce the merger of Lakeshore Waste Services, LLC (“Lakeshore”) and Recycling Systems, Inc. (“RSI”) into Lakeshore Recycling Systems LLC (“Lakeshore Recycling”, “LRS”, or the “Company”). Tensile Capital Management LLC (“Tensile”) provided the equity financing and Comerica Bank (“Comerica”) provided the debt financing required for the transaction. Livingstone acted as the exclusive financial advisor to Lakeshore and RSI. Terms of the deal were not disclosed.
LRS, which has its primary operations in Chicago and its surrounding suburbs, will be a diversified waste services company providing commercial, residential, recycling and roll-off waste collection services to over 2,000 commercial and municipal customers. The Company employs over 275 individuals and owns and operates the largest material recovery facility in Illinois, processing nearly one million tons of waste material annually. LRS’ key customers include the City of Chicago, Village of Skokie, City of Evanston, University of Illinois at Chicago, Walsh Construction Group and McHugh Construction Co. As the Company’s name suggests, Lakeshore Recycling will have a heavy emphasis on waste material management, including recycling, beneficial reuse and landfill diversion.
Josh Connell, CEO of Lakeshore said, “Tensile and Comerica are the ideal partners capable of providing not only the capital, but also the experience necessary to grow our business in the massive, rapidly-evolving Chicago waste industry. We are confident that our people and our assets, coupled with the expertise and capital from our new partners, will allow us to rapidly expand from our combined position as a top three independent in Chicagoland.”
“Livingstone provided expert guidance throughout the complicated merger transaction and facilitated a competitive marketing process to provide RSI and Lakeshore shareholders a variety of attractive financing alternatives to consummate the merger,” added Jerry Golf, RSI President. “RSI is pleased to be joining forces with Lakeshore.”
“The merger of Lakeshore and RSI creates a formidable player in the Chicago waste market,” commented Tensile Managing Partner Doug Dossey. “The Company’s recent success in the municipal markets, including a steadily growing relationship with the City of Chicago, bodes well for its long-term growth trajectory and creates an ongoing need for the type of flexible capital that Tensile can provide.”
Livingstone Partner Steve Miles added, “We are thrilled to have helped forge the relationship between Lakeshore and RSI and secure growth capital to accelerate LRS’ platform expansion. We believe the creation of LRS is illustrative of the types of transactions smaller independents in the waste management industry must pursue in the face of an increasingly consolidated and capital-intensive marketplace.”
The merger of Lakeshore and RSI follows other recent notable Livingstone transactions involving Chicago businesses including OAD Orthopaedics, Goose Island Beer Co., Trio Video, Genuine Scooters and ATI Physical Therapy.
Livingstone is a leading independent, international investment banking firm focused on M&A, capital raising and special situations transactions with values up to $500 million. Across five principal offices in the U.S., Europe and Asia, Livingstone’s 70 corporate finance professionals specialize in six key global sectors: Business Services, Consumer, Environmental Services, Healthcare, Industrial and media:tech.
About Lakeshore Waste Services, LLC
Lakeshore Waste Services is an independently owned and operated waste hauler in the Chicago metropolitan area providing service to Chicago and the surrounding suburbs. Lakeshore Waste was established in 2001 by Josh Connell and Robert Walter. Since its founding, Lakeshore Waste has grown from a one truck operation to a fleet of more than 50 vehicles.
About Recycling Systems, Inc.
RSI is a family-owned company with a strong reputation with area builders, construction companies, local businesses and homeowners through providing cost-effective dumpster rental, waste removal, and construction and demolition waste recycling services at their material recovery facility.
About Tensile Capital Management LLC
Tensile Capital Management LLC is a private investment firm focused on making long-term investments in a concentrated portfolio of select businesses. Tensile has the flexibility to invest in both public and private businesses through minority as well as control investments. The firm takes an active and collaborative approach to partnership with management teams and boards of directors, offering experience and insight, creative problem solving and strategic, long-term planning on key initiatives.
About Comerica Bank
Comerica Bank is one of the largest environmental services lenders in the United States with over $1.5 billion of commitments and over 65 clients nation-wide. Comerica has a dedicated group focused on the environmental services sector with a high level of understanding in all segments of the industry.