GFL Environmental going ahead with initial public offering at US$19 per share


TORONTO — GFL Environmental Inc. is moving ahead with an initial public offering after plans to take the company public were cancelled late last year.

The company says it plans to raise US$2.2 billion through an offering of subordinate voting shares and tangible equity units which include a prepaid stock purchase contract and a senior amortizing note.

In its plan announced today, GFL says it is offering 75 million shares at a price of US$19 per share, below a range of US$20 to US$21 that had been proposed last week.

The company is also looking to sell 15.5 million tangible equity units at a price of US$50. The units will pay interest and include a prepaid stock purchase contract for between 2.1930 and 2.6316 subordinate voting shares that will automatically settle on March 15, 2023.

The Vaughan, Ont.-based waste management company in October had launched its IPO priced at between US$20 and US$24 per share, but cancelled its plans after investors proposed pricing below that range.

GFL, which provides non-hazardous solid waste management, infrastructure and soil remediation and liquid waste management services in Canada and 23 U.S. states, says it will use the money raised to repay debt and for general corporate purposes.

This report by The Canadian Press was first published March 3, 2020.

Companies in this story: (TSX:GFL)

The Canadian Press