Republic Waste Agrees to Acquire G.I. Industries

Republic Waste Industries said it reached a definitive agreement to acquire Simi Valley-based G.I. Industries, a major rubbish hauler in Ventura County, in a deal worth about $15 million.

A similar tentative pact was announced in July, but the definitive agreement calls for G.I. to sell its divisions that are not engaged in waste disposal--particularly its equipment leasing business--before the acquisition. Republic said it expects to close the deal at the end of the year.

G.I. shareholders will receive the equivalent of $3.50 per share in common stock of Republic Waste, which is based in Houston. The amount of Republic stock paid for G.I., which has about 40,000 residential and commercial customers, will depend on the result of an impending public stock offering by the Houston waste company.

The deal is still subject to approval by G.I. Industries.

After the acquisition, G.I. would become a wholly owned subsidiary of Republic.