PE Firm JF Lehman & Co to Acquire Heritage-Crystal Clean in $1.2B Take-Private Deal

Private equity firm J.F. Lehman & Company has acquired industrial cleaning and waste management company Heritage-Crystal Clean in a $1.2 billion all-cash take-private deal.

JFLCO will pay $45.50 per share for Crystal Clean, an almost 25% premium to the company’s 60-day volume-weighted average price on Wednesday.

“At a time when businesses across industries are more environmentally conscious and highly focused on running cleaner, we are excited to partner with Crystal Clean – a clear category leader and unparalleled provider of environmental and waste disposal services,” said JFLCO partner Glenn Shor.

The merger agreement provides for a “go-shop” provision under which Crystal Clean and its Board may solicit other offers during a 35-day period.

The deal is expected to close in the fourth quarter of 2023.

William Blair is serving as a financial advisor to Crystal Clean (HCCI). Houlihan Lokey is serving as the lead financial advisor to JFLCO, and Jefferies is also serving as a financial advisor to JFLCO.