Dive Brief:
- USA Waste of California, a subsidiary of WM, plans to acquire California-based Waste Resources, according to municipal documents. WM did not respond to a request for comment.
- Waste Resources offers residential waste and recycling hauling services in Southern California, including Glendale, Gardena and Hawaiian Gardens. City officials in those places have recently approved franchise contract updates to transfer services over from Waste Resources to WM.
- Waste Resources also offers some roll-off and commercial services and operates a fleet of about 60 vehicles. It also operates in the city of Lynwood, as well as the city of Carson, where it has the exclusive franchise for all residential, multifamily, commercial, and industrial customers, according to its website.
Dive Insight:
WM already operates in numerous cities in Southern California, including as part of the LA Sanitation & Environment’s RecycLA commercial waste franchise system.The deal to acquire Waste Resources would allow it to take over additional established municipal franchise agreements in the region.
The deal is prompted partly by the upcoming retirement of Waste Resources’ longtime owner, Kosti Shirvanian, according to COO Tommy Gendal, who spoke during a Gardena city council meeting on Jan. 16.
He said because it’s a larger company, USA Waste “has a lot to bring to the city of Gardena,” including the resources to reach higher waste diversion rates…