I Squared Capital has announced that it has signed a definitive agreement to acquire Liberty Tire Recycling from Energy Capital Partners (“ECP”), a leading investment firm in the energy transition infrastructure sector
Liberty Tire Recycling stands as North America’s premier ELT recycling platform, offering comprehensive solutions for tire collection, processing, and recycling. The acquisition of Liberty expands I Squared’s global portfolio of environmental infrastructure assets and underscores its commitment to fostering sustainable enterprises that deliver economic as well as environmental value.
With an established reputation in the sustainable and environmental infrastructure field, ECP has owned Liberty since April 2021. Alongside Liberty’s management team, ECP helped transform the company into a national, vertically integrated tyre management leader. Today, Liberty provides essential, compliant tyre collection and recycling services through a network of more than 50 facilities nationwide. Annually, the company collects and processes over 215 million end-of-life tyres, converting them into reusable materials for industrial, commercial, and consumer sectors. Liberty’s innovative tyre-derived products are integral to advancing circular economy initiatives.
Under I Squared’s ownership, Liberty will maintain its leadership in sustainable tyre recycling while enhancing operational performance for its more than 50,000 customers and over 3,500 employees. I Squared intends to collaborate with Liberty to invest in automation and technology aimed at improving efficiency and environmental outcomes, as well as pursue strategic acquisitions to broaden the company’s reach and offerings in support of the circular economy.
Thomas Womble, CEO of Liberty, commented on behalf of the company and its employees; “Our success is attributable to our dedicated team and strong core values, which include prioritising safety, delivering exceptional customer service, supporting manufacturers and retailers in achieving sustainability objectives, and driving growth within the end-of-life tyre sector. ECP has been a valued partner, and we look forward to further progress in partnership with I Squared.”
“I Squared’s investment in Liberty Tire Recycling reflects our continued focus on building resilient, sustainable infrastructure platforms that drive both economic and environmental impact,” said Gautam Bhandari, Global Chief Investment Officer and Managing Partner at I Squared Capital. “We are excited to partner with the Liberty team and support the Company’s continued growth and innovation within the recycling industry.”
Drew Brown, Partner at ECP, said, “We are proud to have worked alongside the Liberty team as we strengthened its leading position in the recycling industry and achieved tremendous growth through strategic initiatives and investments. Liberty plays a critical role in the circular economy for tyres and we are confident the business will deliver further growth and value creation in collaboration with I Squared.”
Financial details of the transaction were not disclosed.
BMO Capital Markets and Jefferies served as financial advisors to Liberty and Latham & Watkins served as its legal advisor. Houlihan Lokey acted as financial advisor to I Squared and Kirkland & Ellis LLP served as its legal advisor.
