Clean Harbors, Inc. has announced the commencement of a private offering of $845 million of senior notes, with expectations for the notes to mature in 2033. The company plans to use the net proceeds from the offering, along with borrowings under a new secured term loan credit facility and cash on hand, to repay existing debts, redeem outstanding senior notes, and cover related fees and expenses.
In terms of financial performance, Clean Harbors reported a revenue of $3.4 billion for the second quarter of 2025, representing an increase of 8% compared to the same period in the previous year. Adjusted EBITDA for the same quarter was $487.4 million, up 12% year-over-year. Additionally, the company's environmental services segment saw an increase in revenue to $812.7 million, reflecting a 9% growth from the prior year.
Furthermore, Clean Harbors announced its anticipation to enter into a new secured term loan credit facility concurrent with the closing of the offering of notes, with plans to borrow $1,160.0 million under this facility. The company aims to utilize these funds, in combination with cash on hand, to facilitate the refinancing transactions.
It's important to note that the offering of notes is not contingent on the company’s entry into the new secured term loan credit facility. Clean Harbors also highlighted that the notes will be offered and sold to qualified institutional buyers, pursuant to specific regulations, and outside the United States.
This move by Clean Harbors comes as part of its strategic financial management and efforts to optimize its capital structure. The company's decision to undertake this offering and the accompanying refinancing transactions reflects its proactive approach to addressing debt obligations and capitalizing on market conditions. As a result of these announcements, the company's shares have moved -0.1% on the market, and are now trading at a price of $231.54. For the full picture, make sure to review CLEAN HARBORS INC's 8-K report.
