Casella buys Blow Bros.
Casella Waste Systems Inc. has acquired Old Orchard-based Blow Bros. in a deal that closed last week.
Casella reported in a press release that it acquired all the outstanding stock of the 60-year-old waste services company for a total of $20 million in cash and 625,000 shares of the Casella's Class A common stock.
The move expands Casella's footprint in Maine and New Hampshire and brings into Casella's operation the roughly 105,000 tons of solid waste and recyclables Blow Bros., or BBI, collects annually.
Casella's chairman and CEO, John Casella, said in the release that the company projects it will generate roughly $2 million in net income in the next year as a result of the deal.
Blow Bros. picks up trash for 13 municipalities, according to the Sun Chronicle.
The paper reported that BBI would continue to operate out of Old Orchard Beach. BBI President Archie St. Hilaire told the paper that the company had "hit a ceiling" in terms of its offerings to larger clients and thought it made sense to merge with a company that also owns landfills.
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