GFL Environmental announced the completion of a major agreement for the recapitalization of Green Infrastructure Partners at an enterprise value of $4.25bn (CAD5.77bn). The transaction involves funds managed by Energy Capital Partners, LLC, and provides for a reorganisation of the capital structure of this infrastructure company founded in 2022 by GFL Environmental, HPS Investment Partners Inc. and Patrick Dovigi.
New capital structure and entry of institutional funds
Green Infrastructure Partners, specialised in the management and construction of infrastructure assets, will receive a total injection of $775mn as part of the transaction. According to information provided, approximately $585mn will be redistributed to current shareholders, while $175mn will be used to strengthen the company’s balance sheet to support future growth.
GFL Environmental will receive a distribution of nearly $200mn. After this transaction, GFL will retain a minority stake representing 30.1% of Green Infrastructure Partners’ capital, valued at $895mn. The founding partners, HPS Investment Partners Inc. and Patrick Dovigi, will also continue to hold minority stakes in the company.
Development outlook and transaction timetable
The management of Green Infrastructure Partners plans to use the new funds to consolidate its activities and explore new growth opportunities. The transaction, which does not alter the company’s operational organisation, is expected to close around September 2, 2025, subject to the usual regulatory approvals.
The financial arrangement enables GFL Environmental and its partners to secure a significant return on investment, while providing additional resources to Green Infrastructure Partners to support its expansion plans. A spokesperson for the group stated that “this transaction illustrates the confidence of institutional investors in the integrated model of Green Infrastructure Partners.”