ELGIN, Ill.–(BUSINESS WIRE)–Heritage-Crystal Clean, a leading provider of parts cleaning, used oil re-refining, and hazardous and non-hazardous waste services primarily focused on small and mid-sized customers, today announced it has entered into a definitive agreement to acquire Patriot Environmental Services.
Patriot is a leading provider of environmental services across the Western United States specializing in a wide variety of waste services, including emergency response, industrial services, and OSRO spill response. Patriot provides full-service environmental solutions to a wide variety of end markets, serving customers within manufacturing, agriculture, construction, healthcare, mining, oil & gas, transportation, and utilities markets. From custom on-site services to industrial waste disposal, as well as wastewater treatment, Patriot operates at eighteen locations in the western and southern United States.
Heritage-Crystal Clean, Inc.’s President and CEO Brian Recatto commented, “The acquisition of Patriot will fortify our presence in the Western U.S. and enhance our nationwide service. With the addition of Patriot’s two wastewater treatment facilities, we will have ten wastewater treatment facilities throughout our network, thereby strengthening our national wastewater vacuum platform. Patriot also possesses other non-hazardous waste processing capabilities which will increase our vertical integration and support our containerized waste business in the Western U.S. reducing our logistics and disposal costs and improving our ability to compete in the larger quantity industrial generator market. In addition, this acquisition will allow us to internalize some of the field service work we currently outsource to subcontractors which should improve our profitability for these services.”
Recatto commented further, “We are very excited to welcome all of the employees of Patriot to the Heritage-Crystal Clean team. We look forward to working with our new colleagues to achieve continued success and provide premier, environmentally sustainable solutions to our customers.”
Josh Teves, President of Patriot, commented, “On behalf of the Patriot team, we are delighted to combine forces with HCCI and we are eager to leverage the Crystal Clean menu of services to deliver even more value to our customers.”
The transaction, which is subject to clearance under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and other customary closing conditions, is expected to close in the third quarter of 2022.
About Heritage-Crystal Clean, Inc.
Heritage-Crystal Clean, Inc. provides parts cleaning, used oil re-refining, and hazardous and non-hazardous waste services primarily to small and mid-sized manufacturers and other industrial businesses as well as customers in the vehicle maintenance sector. Our service programs include parts cleaning, containerized waste management, used oil collection and re-refining, wastewater vacuum, waste antifreeze collection, recycling and product sales, and field services. These services help our customers manage their used chemicals and liquid and solid wastes, while also helping to minimize their regulatory burdens. Our customers include small-to-medium sized manufacturers, such as metal product fabricators and printers, and other industrial businesses as well as businesses involved in vehicle maintenance operations, such as car dealerships, automotive repair shops, and trucking firms. Through our used oil re-refining program during fiscal 2021, we recycled approximately 66 million gallons of used oil into high quality lubricating base oil, and we are a supplier to firms that produce and market finished lubricants. Through our antifreeze program during fiscal 2021 we recycled approximately 3.9 million gallons of spent antifreeze which was used to produce a full line of virgin-quality antifreeze products. Through our parts cleaning program during fiscal 2021 we recycled 2 million gallons of used solvent into virgin-quality solvent to be used again by our customers. In addition, we sold 0.5 million gallons of used solvent into the reuse market. Through our containerized waste program during fiscal 2021 we collected 21 thousand tons of regulated waste which was sent for energy recovery. Through our wastewater vacuum services program during fiscal 2021 we treated approximately 49 million gallons of wastewater. Heritage-Crystal Clean, Inc. is headquartered in Elgin, Illinois, and operates through 91 branches serving approximately 98,000 customer locations.
The Company uses its website to make information available to investors and the public at www.crystal-clean.com.
