Clean Harbors, Inc. (“Clean Harbors”) (NYSE: CLH), the leading provider of environmental and industrial services throughout North America, today announced that it has mutually agreed with Vertex Energy, Inc. (“Vertex”) to terminate Clean Harbors’ planned acquisition of Vertex’s used motor oil (UMO) collection and re-refinery assets. In June, Clean Harbors agreed to acquire certain assets related to Vertex’s UMO collection and re-refinery business in an all-cash transaction for $140 million. The transaction, which was subject to approval by U.S. regulators, had received a request for additional information and documentary materials (second request) from the Federal Trade Commission (FTC) in September.
“Clean Harbors and Vertex have mutually agreed to terminate the transaction,” said Alan S. McKim, Chairman and Chief Executive Officer of Clean Harbors. “We can now refocus our energy on other ways to deploy our capital, including continuing to invest in our Safety-Kleen Sustainability Solutions segment.”
Under the terms of the acquisition agreement, either party could walk away unencumbered from the transaction if it was not finalized by March 31, 2022. In connection with the early termination of the acquisition agreement, Vertex is paying Clean Harbors a breakup fee of $3 million.
About Clean Harbors
Clean Harbors (NYSE: CLH) is North America’s leading provider of environmental and industrial services. The Company serves a diverse customer base, including a majority of Fortune 500 companies. Its customer base spans a number of industries, including chemical, energy and manufacturing, as well as numerous government agencies. These customers rely on Clean Harbors to deliver a broad range of services such as end-to-end hazardous waste management, emergency spill response, industrial cleaning and maintenance, and recycling services. Through its Safety-Kleen subsidiary, Clean Harbors also is North America’s largest re-refiner and recycler of used oil and a leading provider of parts washers and environmental services to commercial, industrial and automotive customers. Founded in 1980 and based in Massachusetts, Clean Harbors operates in the United States, Canada, Mexico, Puerto Rico and India. For more information, visit www.cleanharbors.com.
Safe Harbor Statement
Any statements contained herein that are not historical facts, including information related to the terminated agreement related to Clean Harbors acquiring certain of Vertex’s used motor oil collection and re-refining assets, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are generally identifiable by use of the words “believes,” “expects,” “intends,” “anticipates,” “plans to,” “seeks,” “should,” “estimates,” “projects,” “may,” “likely,” or similar expressions. Such statements may include, but are not limited to, statements about future financial and operating results, and other statements that are not historical facts. Such statements are based upon the beliefs and expectations of Clean Harbors’ management as of this date only and are subject to certain risks and uncertainties that could cause actual results to differ materially, including, without limitation, the impact of the HPC acquisition and those items identified as “Risk Factors” in Clean Harbors’ most recently filed Form 10-K and Form 10-Q. Forward-looking statements are neither historical facts nor assurances of future performance. Therefore, readers are cautioned not to place undue reliance on these forward-looking statements. Clean Harbors undertakes no obligation to revise or publicly release the results of any revision to these forward-looking statements other than through its filings with the Securities and Exchange Commission, which may be viewed in the “Investors” section of Clean Harbors’ website at www.cleanharbors.com.