The Central Valley Fund II Provided Subordinated Debt and Equity Financing to Support the Company's Growth
TACOMA, WA, and CLACKAMAS, OR (December 29, 2021) – CVF Capital Partners (CVF) exited its investment in Pioneer Recycling Services, LLC (“PRS” or “Pioneer Recycling”) as PRS announced today the sale of the Company to a financial buyer. CVF Capital Partners invested a combination of subordinated debt and equity financing from The Central Valley Fund II in December 2014 to support the Company’s rapid expansion plan. Financial terms have not been revealed.
Pioneer Recycling operates two of the Pacific Northwest’s largest material recycling facilities (“MRFs”) with over 200,000 of processed tons combined in 2020. Management acquired the assets of Pioneer Recycling with plans to improve sort quality and expand recycling capacity in the Pacific Northwest through improved plant efficiencies.
CVF worked with the founders of Pioneer Recycling Services to acquire two state-of-the-art MRF facilities in 2014, located in Tacoma, WA and Clackamas, OR. These plants were strategic to major metropolitan markets and included long-term agreements with leading waste haulers and paper mills throughout the Greater Northwest, including Idaho and Northern California.
Steve Frank, President & CEO: “The PRS team built a very solid franchise the last seven years with waste haulers servicing locally throughout both states. We have also truly enjoyed our business relationship with our partners at CVF over the years. They assisted in numerous ways regarding many financial and strategic solutions for PRS over the last seven years.”
Dave Claugus, Vice President & Chief Operating Officer, said, “For over 25 years, my partners and I have offered customers across the U.S. solutions to their solid waste recycling needs. We are now pleased to have built Pioneer Recycling into a regional market leader with strong values, a commitment to customer service, leading innovation, and a focus on sustainability.” Mr. Claugus added, “We pride ourselves on providing the highest levels of customer service and community engagement while at the same time focusing on being an employer of choice to our team of 200 dedicated employees.”
According to Jose Blanco, Partner at CVF Capital Partners, “We are delighted to have supported a great management team well versed in the solid waste recycling industry with a history of successful financial performance.” Blanco continued, “Steve and Dave were great partners and their efforts led to PRS responding to a greater demand by consumers in the Pacific Northwest to divert non-hazardous waste into reusable products.”
Added Chris Carleson, Vice President at CVF Capital Partners, “Steve Frank, Dave Claugus, and the management team at Pioneer Recycling have been great business partners over the last seven years and the success of PRS is a testament to their efforts. The growth of Pioneer Recycling has been remarkable and CVF has enjoyed working with the PRS team to continuously exceed expectations while providing a high-quality service in the Pacific Northwest. We look forward to tracking the success of PRS and recycling in the Northwest for years to come.”
About Pioneer Recycling Services:
Pioneer Recycling Services, LLC based in Tacoma, WA is an industry leader in non-hazardous recycling and solid waste in the Pacific Northwest. Pioneer Recycling’s recycling centers focus on providing reliable environmental services and solutions for commercial, industrial, municipal, and residential customers. Pioneer Recycling and its employees believe in protecting the planet and applying common-sense solutions to customers’ waste and recycling challenges. For more information, visit the Pioneer Recycling website at www.pioneerrs.com.
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About CVF Capital Partners:
CVF Capital Partners was established in 2005 to finance later stage growth and buyouts through mezzanine and preferred equity investments and manages over $385 million in committed capital. The fund has offices in Davis, CA and San Diego, CA. It is focused on making investments in growing businesses in the lower middle-market of the Western United States. For more information, please visit www.cvfcapitalpartners.com.
For more information contact:
Phone: 530-757-7004 ext. 227