Dear Clients and Friends:

Please find attached a set of updated financial and valuation statistics for select publicly traded companies in the waste services sector as of March 31, 2025. During Q1-25, these ten companies’ stock prices increased, on average, by 5.2%. During Q1-25, the DJIA, S&P 500 and NASDAQ decreased by 1.3%, 4.6%, and 10.4%, respectively.

U.S. equity markets struggled in Q1 2025. Global geopolitical events, uncertain tariff policies and mixed economic data weighed heavily on investor sentiment and increased market volatility. Investors remain concerned about the Federal Reserve’s updated projections which show higher inflation and lower economic growth in the near-term. The latest CPI report revealed a slight increase in inflation, with the annual rate rising to 3.2%.  Total nonfarm employment increased by 151,000, and the unemployment rate remained relatively stable at 4.1%.

President Trump’s upcoming April tariff implementation is expected to be more limited than initially planned, excluding certain nations and specific sectors. However, the situation remains uncertain, and skepticism persists regarding the potential impact on the US economy-particularly if retaliatory tariffs are introduced by other countries.

Solid Waste

Solid Waste was the best performing sector with a 12.5% average stock price increase in Q1-25.

Republic Services was the best performer with a 20.4% stock price increase in Q1-25. The Company reported 2024 earnings on February 13^th and outperformed expectations.  Republic achieved year-over-year Revenue growth of 7.1% including 4.5% organic growth and 2.6% growth from acquisitions.  The Company also generated double-digit EBITDA growth of 12% and expanded Adjusted EBITDA margins by 1.4% year-over-year.

Additionally, on February 14^th, Republic Services announced the acquisition of Shamrock Environmental, a portfolio company of CenterOak Partners. Shamrock is a NC-based industrial waste and wastewater services provider operating six permitted centralized wastewater treatment facilities and several solidification sites in the Southeast. Shamrock collects and transports liquid waste across more than 20 states via its network of operating locations and fleet of company-owned tankers and vacuum trucks.

GFL Environmental announced a direct share buyback of 17,050,298 subordinate voting shares directly from funds managed by BC Partners at a net price of US$46.92 per share on March 25^th. Additionally, BC Partners, HPS Investment, Ontario Teachers’ Pension Plan Board and Poole Private Capital have offered a combined resale of approximately 18,900,000 shares at US$47.65 per share, representing a ~5% stake in the Company. GFL has agreed to purchase for cancellation a total of 7,056,027 shares under this offering. These transactions align with the Company’s previously announced plan to use approximately $2.25 billion from the recent sale of its Environmental Services business to repurchase subordinate voting shares, subject to market conditions.

LRS Waste Management Services (“LRS”), a portfolio company of Macquarie Infrastructure Partners, announced the divestiture of its Wisconsin assets to GFL Environmental on March 4^th. The Company will exit Wisconsin to focus on organic growth in other core markets. The sale includes all of LRS’ Wisconsin assets, including collection and transfer assets in the Central and Southern parts of the state and a single-stream sorting facility in DeForest. The Company will also exit a C&D MRF operating agreement with Dane County in Madison. GFL currently operates hauling operations in 18 locations, as well as two landfills, two MRFs and 16 transfer station in Wisconsin.

GFL Environmental completed the sale of its Environmental Services business to Apollo and BC Partners at an enterprise value of $8.0 billion on March 3^rd. The Company has retained 44%, $1.7 billion equity interest in the divested business as a part of the agreement. GFL plans to allocate up to $3.75 billion of the net proceeds from the sale toward debt repayment.

Interstate Waste Services (“IWS”), a portfolio company of Ares Management and Littlejohn & Co, announced on March 19^th the acquisition of Pinto Service and National Transport (collectively “Pinto”), a family-owned waste hauling company with a strong footprint across Northern New Jersey. As part of the acquisition, IWS will integrate all of Pinto’s collection services, transfer station and disposal operations, employees and its fleet of over 40 collection vehicles into its operations.

Atomic Transport, a provider of long-haul waste transportation and transfer station management services and a portfolio company of Comvest Partners, announced that it has been acquired by J.F. Lehman & Company on February 20^th. The Company operates in 19 states across 30 terminals.

Waste Eliminator, a portfolio company of Allied Industrial Partners, announced the acquisition of Oconee Resources, a SC-based waste collection and disposal company, on February 19^th. Oconee Resources operates a MSW and C&D transfer station in upstate SC. Additionally, Waste Eliminator acquired FC Sanitation, a MSW collection and C&D waste hauling firm, on January 24^th. This strategic acquisition will grow the Company’s MSW collection business and strengthen its foothold in the Northeast GA and SC markets.  Lastly, Waste Eliminator acquired Enterprise Landfill and Philips Recoveries, a C&D and industrial waste landfill and waste hauling company serving GA and SC on January 3^rd. This strategic acquisition will enhance the Company’s infrastructure and strengthen its capacity to deliver collection and post-collection services.

Casella announced the acquisition of Save That Stuff, a MA-based provider of hauling and recycling services, on February 4^th. Save That Stuff has over 3,000 customers and a 100,000 square foot processing facility in Boston. Save That Stuff was previously part of Boston’s residential organics collection program but exited the arrangement ahead of this deal.

Reconomy, a portfolio company of EMK Capital, announced the completion of two United States-based acquisitions on January 27^th, Complete Solutions & Sourcing and Waste Focus.  Complete Solutions & Sourcing is a high-growth waste and recycling management company and Waste Focus is a full-service waste management provider with solutions including recycling and waste consulting services.

Recycle Track Systems (“RTS”) announced a $40 million capital round on January 24^th led by current investor Edison Partners with participation from Volition Capital, StepStone Capital Partners and other major stakeholders. The funding follows a lawsuit filed by the Company on January 21^st alleging that its main investor K1 Investment Management (“K1”) is attempting to take control of RTS. The funding could allow financial flexibility for the legal process against K1 to play out.

On January 22^nd, Waste Pro USA announced the closing of a $850 million private offering of 7.000% Senior Unsecured Notes due 2033. Waste Pro intends to use the net proceeds from this offering to redeem its existing 5.500% senior notes due 2026 in full, to repay outstanding balances under its revolving credit facility and certain equipment loans, and for general corporate purposes. Stifel served as a co-manager on this offering.

BP Environmental Services, a Chalfont, PA-based provider of tech-enabled managed waste services and equipment rental services, announced a recapitalization on January 21^st. The Firmament Group and Bregal Sagemount made new strategic investments in partnership with Expedition Capital Partners who first invested in the Company in 2021. As part of the recapitalization, Tecum Capital, who first invested in 2021, exited the investment. The Company has built a strong national network of hauling and equipment rental vendors, delivering reliable, efficient and high-quality service to its clients.

Meridian Waste, a provider of non-hazardous, integrated solid waste services, announced the asset acquisition of Foothills Waste Solutions on January 1^st. The acquisition expands Meridian Waste’s operational footprint within the Raleigh, Durham and Chapel Hill Region, adding commercial frontload, permanent and temporary roll off and residential hauling routes to the Company’s NC portfolio. Additionally, Meridian Waste will assume Foothill’s existing hauling facility located in Sandy Ridge, NC, where the Company will house the administrative and maintenance functions servicing these newly acquired customers and accounts. This will be Meridian Waste’s 33^rd acquisition under the ownership of Warren Equity Partners.

Specialty Waste

Specialty Waste underperformed Solid Waste with an 2.2% average stock price decrease in Q1-25.

Befesa was the best performer with a 28.1% stock price increase in Q1-25. The Company reported full year 2024 results on February 27^th, achieving Revenues of $1.3 billion and Adjusted EBITDA of $231 million, up 5% and 14% year-over-year, respectively. Operating Cash Flow reached record levels in 2024 rising by 30%, reflecting strong cash conversion and effective working capital management. Befesa’s performance was driven by increased volumes in Europe and the United States, higher zinc prices and better operating costs in steel dust, despite the macroeconomic challenges in the steel sector and automotive industry.

VLS Environmental, a portfolio company of I Squared Capital, announced on March 24^th the acquisition of Samex Environmental (“Samex”), a San Diego-based provider of hazardous waste fuel blending and recycling services. Samex has processing facilities in Tijuana, Mexico and a fleet of transportation assets. The company has over 1,400 employees and 50+ locations nationwide.

Toyota Tsusho America, a subsidiary of Toyota, announced on March 13^th the acquisition of Radius Recycling, a OR-based industrial metals recycler, for $30.00 per Radius share which represents an ~102% premium to the 90-day VWAP of Radius. The implied total enterprise value of the transaction, including net debt is ~$1.34 billion. The Company plans to invest in Radius Recycling’s business in North America, including its electric furnace mill in McMinnville, OR. Radius Recycling processed about 4.5 million long tons of recycled ferrous metal and 334,000 long tons of recycled nonferrous metal in 2024. The transaction is expected to close in the second half of 2025.

Sagepoint Energy (“Sagepoint”) announced the combination and rebranding of Dynamic Renewables, BC Organics and National Organics, on March 5^th. The newly combined business is led by CEO Aaron Johnson, who served as CEO of Dynamic Renewables since 2023. Sagepoint will focus on the development, operation and execution of waste-to-energy solutions in the United States.

Reworld, a portfolio company of EQT and GIC, announced on March 4^th the acquisition of R.E.D. Technologies (“REDTEC”), a provider of profiled waste and field remediation services in Portland, CT. REDTECH handles over 300,000 tons of material annually, including contaminated soils, asbestos, PCBs and containerized hazardous and non-hazardous waste streams. REDTECH’s fleet contains 36 railcars and 100+ vehicles, supporting hazardous and non-hazardous waste logistics.

Sustainable Electronics, a portfolio company of Closed Loop Partners, announced the acquisition of Cascade Asset Management (“Cascade”), an IT Asset Disposition (“ITAD”) company, on February 21^st. Cascade is a leader in the ITAD industry, providing hardware asset lifecycle management, reuse, refurbishment and disposition services. Following its acquisition of Cascade, Sustainable Electronics becomes one of the largest pure-play ITAD service providers in the United States.

Crystal Clean, a portfolio company of J.F. Lehman & Company, announced the acquisitions of Premium Environmental Services (“PES”) and the combined operations of Worldwide Recovery Systems (“WRS”) and Yuma Environmental Services (“YES”) on February 13^th. PES is a provider of spill response and waste disposal solutions. WRS is a CA-based provider of waste collection, transportation and disposal services, primarily in CA and AZ. YES, a division of WRS, operates a non-hazardous waste transfer station in Yuma, AZ.

Triumvirate Environmental, a provider of sustainable environmental solutions, announced a significant growth investment from Berkshire Partners on February 4^th which valued the business at $1.8 billion. Triumvirate Environmental serves more than 4,000 customers across 50 locations across North America with a focus on the life sciences, healthcare, education and advanced manufacturing end markets. Stifel served as exclusive financial advisor to Berkshire Partners on its investment in Triumvirate Environmental and as a lender for its new senior secured credit facilities.

Circular Services, a portfolio company of Closed Loop Partners and a New York City-based provider of recycling and circular economy services, announced the acquisition of Quantum Organics on February 3^rd. Quantum Organics is a CT-based food and green waste processing services provider created through the merger of Quantum Biopower and Supreme Forest Products. Quantum Organics has 100,000 tons per year of permitted capacity for food waste and 500,000 yards per year for leaf and yard waste.

Superior Environmental Solutions (“SES”), a portfolio company of Palladium Equity Partners, announced the acquisition of American Remediation & Environmental on January 17^th, representing SES’s largest acquisition to date. American Remediation & Environmental is a provider of mission critical industrial services, tank maintenance and environmental services headquartered in Mobile, AL. This acquisition expands SES’s reach to AL, MS and LA and strengthens SES’s geographic footprint with 13 locations primarily in the Southeast and Midwest United States.

Leveraged Finance Market Update

The leveraged loan market began 2025 on a high note but momentum deteriorated as the quarter progressed. After a record-breaking January, sentiment soured amid tariff concerns and a murkier growth picture for borrower fundamentals. Amid a massive sell-off in the equity markets, investor demand for leveraged loans cooled which sidelined a handful of loan syndications and required arrangers to flex terms and make concessions to help get deals across the finish line.

In the high yield bond market, the Fed’s moderately dovish tilt at the March FOMC meeting was a positive course correction, which should lead to higher primary volume ahead. Issuance from January 1^st to March 18^th — ahead of the Fed statement — was $55 billion, versus more than $85 billion priced in the first quarter last year.

Stifel’s 2025 Investor Summit at Waste Expo

Stifel’s 2025 Investor Summit at Waste Expo will be held on Monday, May 5, 2025, in Las Vegas, Nevada.  The format includes fireside chats with executives of public and private waste companies, topical panel discussions and a Private Company Forum (“PCF”).  The PCF will host approximately fifteen private companies participating in one-on-one meetings with institutional investors.  We look forward to seeing you there!

Last year’s event attracted over 950 attendees, a record high and a testament to the continued level of interest in the waste services sector.

Stifel’s 2025 Cross Sector Insight Conference

Stifel hosted the 2024 Cross Sector Insight Conference on June 4-5^th at the Boston Intercontinental Hotel. This event attracted over 1,800 attendees including 325 public and private companies from various sectors (Business Services, Consumer, Diversified Industrials, Diversified Services, Energy & Power, Internet, Media, Real Estate and Technology). Stifel hosted close to 4,500 1x1 meetings between companies and investors over these two days. The conference emphasis is on long-term cross sector trends with interactive sessions, collaborative panel presentations and one-on-one meetings with both public and private companies.

Stifel’s 2025 Cross Sector Insight Conference is scheduled for June 3-4^th at the Boston Intercontinental Hotel.

Final Thoughts

Clients should consult Stifel’s long tenured and experienced investment banking team to evaluate near-term financing and M&A opportunities.

Please let us know how we can help.

Thank you,

	David M. Gray Chairman, Diversified Industries (443) 224-1473 grayd@stifel.com			JR Bartrug Managing Director (443) 224-1454 bartrugj@stifel.com
	John McNamara Managing Director (212) 847-6454 jmmcnamara@stifel.com			Ryan Warren Vice President (443) 224-1389 warrenr@stifel.com

Stifel, Nicolaus & Company, Incorporated | Member SIPC & NYSE | www.stifelib.com