Clean Earth, Inc. Acquisition

Clean Earth, Inc. is a private company based in Pennsylvania, United States and specializes in processing, recycling, and enabling reuse of waste products, particularly soil, for a variety of uses. It is actively involved from start to finish in processing all sorts of hazardous and non-hazardous soils to create usable products. Additionally, it also provides solutions for the prevention of waste including technological solutions for highly advanced industries. It has branches in other states of the United States as well and has an extensive network of distribution and logistics that is well managed and cared for. It has shown sustainable growth since its inception and has set realistic goals that it has been able to achieve. Given its overall mission, adherence to its long-term vision, and sustainable growth it seems like a good match to be acquired. The financials of the company are not publicly disclosed but from the likes of its overall performance, it seems to be well established.

Clean Earth, Inc. has been able to attain reputable awards in its industry and compared to companies who are doing similar work it seems to excel at its core task of processing waste products. Its 2013 industry rankings were as follows: It ranked number 82 on ENR’s top 200 environmental firms. It was number 600 on ENR’s top 600 specialty contractors of the year 2013. It ranked number 18 on ENR’s New York Regional Top Specialty Contractors, number 6 in New Jersey, number 10 in Connecticut, and number 14 in New Jersey’s Top Recycling and Waste Management companies. It maintained similar rankings in prior years including 2012 and 2011 for similar industry rankings titles thus proving that it is keeping up with the promise and vision it started the business with. It is also registered and accredited by industry standards and always been in compliance with regulations as well as kept its business integrity intact. The industry can vouch for its staunch compliance.

Acquiring a company requires careful analysis of its past performance, both in quantitative and qualitative terms. Sometimes a company who is not too aggressive about financial success short term has amazing long term sustainability and this seems to be the case with Clean Earth, Inc. It has maintained a proper streamlining process and formed strong relationships with its suppliers and distributors making it harder for new or existing competition to outdo its performance standards. Its 2014 Annual Sustainability Report published in April 2015 reaffirms these observations. The company’s management promises even further growth in the future all the while abiding to the core agenda of ethically and progressively working towards cleaner earth for all. Additionally, there seems to be ample room for potential improvement in the company by either adding new products and services, or increasing its current market spread.

Currently, Clean Earth, Inc. handles soil, construction debris, dredging, and industrial waste and manages uses of waste through recycling. It can enter businesses that use waste products actively like water pipelines or bottled water, or making innovative construction products, or any other product, such as pesticides, that utilizes the core components of soil and waste. A little bit of research and development can take this company a long way and so investing in it at the right time is essential for a successful acquisition. The company has also been able to bag high end and extremely heavy duty projects like Elizabeth Seaport Business Park Redevelopment, Howland Hook Marine Terminal Maintenance Dredging, and a contract with Nordic Contracting Co. to process, recycle, and transport 17,000 tons of soil to aid construction of a new bridge at Princeton University. All of these projects are potentially very profitable and project a high ROI. Further analysis can be conducted to affirm these assumptions of course. All in all Clean Earth, Inc. seems has the potential to be a beneficial acquisition, and the fact that it is already operationally and logistically established adds to its current value.