Clean Harbors prices $745 million in senior notes at 5.75%

NORWELL, Mass. - Clean Harbors, Inc. (NYSE:CLH), a $12.47 billion market cap environmental services provider with a strong financial health rating according to InvestingPro, announced it has priced a private offering of $745 million in senior notes due 2033 at an interest rate of 5.75%, according to a company press release statement.

The offering amount was reduced from the previously announced $845 million in conjunction with a $100 million increase in a new secured term loan credit facility. The notes were priced at 100% of their aggregate principal amount, with the sale expected to close around October 9, 2025.

Clean Harbors plans to use proceeds from the notes offering and $1.26 billion in borrowings under a new secured term loan credit facility, along with cash on hand, to refinance existing debt. This includes repaying approximately $1.46 billion in outstanding secured senior term loans and redeeming all $545 million of the company’s 4.875% senior notes due 2027.

The refinancing transactions remain subject to market conditions and other factors, with no guarantee of completion. The notes offering is not contingent on securing the new term loan facility.

The notes will be offered to qualified institutional buyers under Rule 144A of the Securities Act and to non-U.S. buyers under Regulation S. They will not be registered under the Securities Act and cannot be sold in the United States without registration or an applicable exemption.

Clean Harbors is North America’s leading provider of environmental and industrial services, serving customers across various industries including chemical manufacturing, refining, and government agencies. The company has demonstrated solid performance with 5.49% revenue growth and $1.08 billion in EBITDA over the last twelve months. For deeper insights into Clean Harbors’ financial health and growth prospects, access the comprehensive Pro Research Report available on InvestingPro, which offers expert analysis of this and 1,400+ other top US stocks.

In other recent news, Clean Harbors Inc. reported its second-quarter earnings for 2025, which showed a slight miss in both earnings per share (EPS) and revenue compared to analyst forecasts. The company’s EPS was $2.36, just below the expected $2.38, while revenue reached $1.55 billion, falling short of the $1.59 billion forecast. In financial maneuvers, Clean Harbors announced a private offering of $845 million in senior notes expected to mature in 2033. The proceeds, along with $1.16 billion in borrowings from a new secured term loan credit facility and cash on hand, are intended to refinance existing debt, repay approximately $1.46 billion in outstanding secured senior term loans, and redeem $545 million of its 4.875% senior notes due 2027.

On the analyst front, Barclays initiated coverage on Clean Harbors with an Equalweight rating, citing potential risks of price competition despite the company’s shares appearing relatively inexpensive. Truist Securities reiterated its Buy rating with a price target of $250.00, expressing optimism about hazardous waste pricing. Additionally, BMO Capital raised its price target on Clean Harbors to $268.00 from $264.00, maintaining an Outperform rating and praising the company’s performance in the second quarter of 2025 despite facing tariff-related uncertainties and sluggish industrial activity. These developments reflect a mix of cautious optimism and strategic financial planning for Clean Harbors.

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