Clairvest's Strategic Bet on Beneficial Reuse Management: A Pivot to the Circular Economy's Main Stage

In a move that underscores the growing imperative of sustainable practices, Clairvest Group has cemented its leadership in environmental services by investing in Beneficial Reuse Management (BRM), a pioneer in converting industrial waste into value-added products. This transaction, announced on May 21, 2025, marks Clairvest’s 10th investment in the environmental sector and its third through the $1.2 billion Clairvest Equity Partners VII (CEP VII) fund. With BRM’s scalable model, robust distribution network, and alignment with global circular economy trends, this partnership positions Clairvest to capture outsized returns while addressing escalating demand for sustainable waste solutions.

BRM’s Unique Position: From Waste to Wealth

BRM operates at the intersection of industrial efficiency and environmental stewardship. Its core business involves transforming by-products like gypsum, sulfur, and construction debris into high-demand products such as Gypsoil Blendable™, a nutrient-rich agricultural amendment, and SulfurMax™, a soil amendment for acid-sensitive crops. By diverting 18 million tons of waste from landfills since its founding in 1999, BRM has established itself as a critical player in reducing landfill dependency and cutting carbon emissions.

The company’s 116+ distribution points and four strategically located processing facilities—handling up to 300,000 tons annually—enable it to serve 40% of cultivated farmland in the eastern U.S. with localized, low-carbon solutions. This network not only reduces transportation emissions but also ensures cost-efficient access to materials for clients in agriculture, construction, and utilities.

Clairvest’s 19-Year Track Record: A Blueprint for Success

Clairvest’s entry into BRM is no accident. The firm has spent over a decade refining its playbook in environmental services, leveraging regional consolidation, operational expertise, and entrepreneur partnerships to build industry leaders. Key precedents include:
- County Waste of Virginia: A 2013 investment that grew revenue 400% via 60+ acquisitions, culminating in a 2020 sale to GFL Environmental at a 3.6x return.
- DTG Recycle: A 2020 minority investment that fueled 500% EBITDA growth through 11 acquisitions, positioning it for a strategic exit.

Clairvest’s success hinges on its ability to amplify scale and efficiency in fragmented markets. BRM’s fragmented industrial waste sector—currently valued at $25 billion in the U.S. alone—offers a prime opportunity for this approach. By deploying its capital and operational know-how, Clairvest can help BRM consolidate regional competitors, expand its geographic footprint, and deepen relationships with utilities and manufacturers.

Why Now? The Perfect Storm for Circular Economy Investments

The BRM deal arrives at a pivotal moment for the circular economy. Regulatory pressure—from U.S. landfill reduction mandates to EU carbon border taxes—is forcing industries to rethink waste management. Meanwhile, consumer demand for sustainability is reshaping purchasing decisions, with 60% of global consumers prioritizing environmentally responsible brands. BRM’s model directly addresses these dual pressures:
- Cost savings: Replacing virgin materials with recycled inputs reduces production costs for clients.
- Carbon footprint reduction: Diverting waste from landfills avoids methane emissions, a greenhouse gas 25x more potent than CO₂.
- Regulatory compliance: BRM’s partnerships with regulators, including pioneering sulfur legislation in Wisconsin, ensure its solutions are legally defensible and scalable.

ESG-Aligned Returns: The Bottom Line

The transaction’s true value lies in its ESG return profile. BRM’s operations generate measurable environmental benefits:
- 1.5 million tons annually of waste diverted from landfills since 2020.
- 330,000+ tons of CO₂ emissions avoided annually through recycling.

For investors, this translates to defensive cash flows (waste management’s recession-resistant demand) and strategic upside as BRM expands its distribution network and processing capacity. Clairvest’s $300 million commitment (via CEP VII) provides the liquidity needed to execute acquisitions, invest in technology, and scale its circular solutions.

A Catalyst for Industry Consolidation

BRM’s 116-location network and processing capacity already position it as a consolidator in its niche. With Clairvest’s backing, the company can accelerate acquisitions of smaller regional recyclers, particularly in the eastern U.S., where its agricultural customer base is concentrated. This consolidation will create a national platform capable of competing with larger players like GFL Environmental while retaining the agility of a family-led business.

Conclusion: A Win for Planet and Portfolio

Clairvest’s investment in BRM is more than a financial transaction—it’s a strategic bet on the future of sustainability. By marrying BRM’s circular economy expertise with Clairvest’s operational mastery, the partnership aims to deliver top-quartile returns while addressing a $25 billion market ripe for consolidation. For investors seeking exposure to ESG-driven growth, this deal is a rare opportunity to back a proven winner in a sector that’s both mission-critical and primed for expansion.

The clock is ticking. As regulatory and consumer demands intensify, those who act swiftly to invest in circular economy leaders like BRM will secure a stake in a resilient, high-growth future.