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City manager: TPG acquired Priority Waste control; company says services will continue
Summary
City Manager Doug Baky told the South Lyon council that TPG has acquired controlling equity in Priority Waste LLC; Priority Waste representatives said the company expects continuity of service and an investor commitment of more than $150 million to settle debt and buy equipment.
City Manager Doug Baky told the South Lyon City Council that global asset manager TPG has acquired a controlling equity interest in Priority Waste LLC and that the waste hauler will remain the contracting party under the city's agreement.
"Priority Waste LLC will remain the contracting party under the agreement with the city," Baky said, adding that all waste-hauling services will continue without interruption. Sam Cara Magno of Priority Waste answered council questions and described TPG as a New York–based private equity firm. Sam said the investor has committed "150 million plus" to address debt and purchase trucks and equipment; he also said Priority Waste's day-to-day operators remain in place and that company leadership is being restructured (former CEO Todd Stamper removed; Vince Hoya named interim CEO).
Council members asked whether TPG will take board seats; Sam said it is likely the investor will seek at least one or two board seats in return for significant capital. Several members sought reassurance about workforce continuity; Sam said current employees are expected to remain and that service to the city will not be disrupted.
Manager Baky introduced Priority Waste's representative and said the city had received a memo on the transaction; he did not present any separate financial documents at the meeting. Council members thanked the company representative for appearing and asked for more details about board-level changes and the timing of a permanent CEO appointment.
