WM Completes Acquisition of Stericycle: A New Era in Waste Management

Waste Management, Inc. (WM) has completed its acquisition of Stericycle, Inc., marking a significant milestone in the waste management industry. This strategic move positions WM as a comprehensive environmental solutions provider, offering customers a single, trusted partner for a wide range of waste management needs. The acquisition is expected to deliver substantial synergies and strengthen WM's financial outlook, while also expanding its service offerings into the growing healthcare market.

The acquisition of Stericycle brings together two industry leaders, creating a company with a strong portfolio of waste management and environmental solutions. WM's extensive solid waste services, combined with Stericycle's leading regulated medical waste and secure information destruction businesses, will enable the new entity to offer customers a more comprehensive suite of services. This acquisition aligns with WM's growth strategy, sustainability initiatives, and long-term financial goals.


The integration of Stericycle's operations into WM's existing infrastructure and logistics network is expected to generate significant cost synergies. WM anticipates realizing annual run-rate cost synergies exceeding $125 million through leveraging its expertise in logistics, technology-enabled cost optimization, and its leading waste disposal network. These synergies are projected to result in a post-synergy transaction multiple well below WM's current trading multiple, indicating the potential for substantial value creation.


The acquisition of Stericycle is expected to have a positive impact on WM's long-term growth prospects and financial performance. The addition of Stericycle's complementary business platform in the healthcare market will expand WM's environmental service offerings, allowing it to offer customers the opportunity to partner with a single service provider with a comprehensive suite of environmental solutions. The acquisition is also expected to be accretive to WM's earnings and cash flow within one year of close, further strengthening its operating EBITDA and cash flows.

WM's acquisition of Stericycle is a strategic move that enhances its position as a leading waste management and environmental solutions provider. By leveraging Stericycle's expertise in regulated medical waste and secure information destruction, WM can offer customers a single, trusted partner for a wide range of environmental services. This acquisition positions WM well to win in the growing medical waste industry and deliver tailored and effective solutions in secure information destruction, furthering its sustainability leadership.

In conclusion, WM's acquisition of Stericycle is a significant development in the waste management industry, creating a comprehensive environmental solutions provider with a strong portfolio of services. The acquisition is expected to deliver substantial synergies, strengthen WM's financial outlook, and expand its service offerings into the growing healthcare market. This strategic move positions WM well to capitalize on the growing demand for sustainable waste management solutions and further its commitment to promoting healthy and safe communities.