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Published On: Wed, Mar 30th, 2016

GFL Brings in Lowest Bid in Windsor, Continues Servicing City

The city council for Windsor, Ontario has voted in favour of renewing the city’s existing contract with private environmental services provider Green For Life Environmental Inc. (GFL)

The unanimous vote came after the city reviewed an administration report that advised the council to choose the Toronto-based service provider. GFL’s bid came in lower than their competitors, which served as one significant reason for the city to continue with the company’s services. As noted by CBC Windsor, “Green for Life bid $5.1 million per year for bi-weekly recycling and garbage services, which is the lowest bid in all scenarios. That figure combines a $1.65 million cost for recycling and a cost of $67.77 per tonne of garbage collected.”

City of Windsor photo Adolch via wikimedia commons

City of Windsor photo Adolch via wikimedia commons

City of Windsor officials said the substantial savings and GFL’s service record also factored into their approval. “Cost is certainly one of the biggest [factors],” said Anne-Marie Albidone, the city’s environmental service manager. “We have been working very well with GFL. They have been a good contractor, not without hiccups. Certainly our contract does allow us to assess liquidated damages to them when they are not performing, but all in all, I think that the company has been working out very well.”

The City of Windsor first contracted out its waste and recycling collection to GFL in 2010 after the city’s in-house workers went on a prolonged strike. Local CUPE 82, the union representing the city’s former waste management workers, also submitted a bid, although GFL’s came in lower.

GFL’s bid will save the city four million dollars over seven years, when compared to other bids that were submitted.

GFL recently made national headlines after the environmental services company finalized Canada’s first large cap private equity deal of the year. The deal saw GFL acquire Matrec, an environmental service provider previously owned by Quebec-based TransForce Inc.

The $800 million dollar Matrec acquisition is another step forward in GFL’s continued growth, with the company now servicing every Canadian province except Prince Edward Island. Notably, GFL’s acquisition of Matrec also moved up GFL’s total enterprise value from $950 million last year to approximately $2.4 billion dollars today.

“This transaction solidifies GFL’s position as a leader in the Canadian environmental services industry by expanding our solid waste operations into Quebec and Eastern Ontario,” explained Patrick Dovigi, GFL’s Chief Executive Officer.

Since its inception less than a decade ago, Patrick Dovigi has grown GFL through strategic acquisitions like the Matrec deal. By acquiring niche environmental service providers, GFL is now able to offer comprehensive solid and liquid waste services to more than 1.7 million Canadian households.

We are very pleased to have entered into this agreement with GFL. Through this sale, we believe that TransForce will realize full value for the Waste Management segment which, in our view, has never been fully recognized,” said TransForce Chairman, President and CEO Alain Bédard in a press release regarding the GFL purchase

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