The financing gives Santek additional capital to realize initiatives by growing collections activities.

Waste360 Staff, Staff

May 23, 2019

1 Min Read
Santek Waste Services Completes $290M Recapitalization

Santek Waste Services LLC has completed a $290 million recapitalization of the Cleveland, Tenn.-based company, according to Chief Financial Officer Chris Holmstrom. The company’s new credit facility is all debt, including a $75 million Holdco Credit Facility led by Willow Tree Credit Partners.

“Partnering with founders and entrepreneurs is a cornerstone of our business at Willow Tree,” said Jim Roche, chief credit officer of Willow Tree, in a statement. “We have enjoyed working with the Santek team to avail a flexible capital structure designed to facilitate the company’s strategic growth initiatives.”

Additionally, SunTrust Robinson Humphrey served as exclusive financial advisor and placement agent to Santek on the transaction.

Founded in 1986, Santek is one of the Southeast’s largest privately held solid waste services companies. Its hub-and-spoke footprint extends throughout nine states predominantly in the Southeast and Texas and comprises 17 landfills, 11 transfer stations and seven waste collection companies.

“This transaction marks the beginning of a new chapter in the Santek growth story,” said Kenny Higgins, Santek CEO and founder, in a statement. “We’re proud of our employees’ hard work and commitment to service providing Santek a path for continual growth well into the future.”

The financing provides Santek with additional capital to realize initiatives by growing collections activities, which leverage investments in landfill operations. Santek explained that it is unique in that its landfill operations are all partnerships with municipal governments, thus increasing yield to the communities the company serves by generating revenue for local needs.

Benesch, Friedlander, Coplan and Aronoff, LLP of Cleveland served as counsel to Santek.

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