WARRINGTON, PA — Windtree Therapeutics, Inc. (NasdaqCM: WINT) announced a strategic acquisition of Titan Environmental Services, Inc. (OTC: TESI), marking a significant step in its shift toward profitability and entry into the $85 billion U.S. environmental services market.
The transaction, expected to close in the third quarter of 2025, will see Titan rebranded as Windtree Environmental Services and operate as a subsidiary of Windtree. The deal is anticipated to generate $12 million in revenue over the next 12 months while positioning Windtree for additional growth through a roll-up strategy targeting the fragmented waste management industry.
“This transaction strategically aligns with our vision of diversifying our business model by increasing revenue and providing significant growth potential for the Company,” said Jed Latkin, Chief Executive Officer of Windtree. “We look forward to working with the Titan management and continuing to execute on our refined corporate strategy.”
The U.S. waste collection market, valued at $85 billion in 2024, has historically delivered attractive EBITDA margins and consistent cash flow. Titan, which has recently streamlined its operations and eliminated non-core assets, brings a focused expertise in waste management that will serve as a foundation for Windtree’s growth ambitions. To support the acquisition, Windtree has secured debt financing and plans to issue preferred shares as part of the consideration.
The acquisition reflects Windtree’s broader strategy to transition away from its traditional pharmaceutical focus by exploring opportunities in high-growth industries. Although the company continues to evaluate options for its pharmaceutical pipeline, this diversification into environmental services is expected to reduce costs and contribute to overall profitability.
Through its roll-up strategy, Windtree intends to capitalize on the fragmented nature of the waste management industry by pursuing additional acquisitions, driving top-line revenue growth, and enhancing EBITDA performance. This approach is designed to scale the newly created Windtree Environmental Services into a competitive player in the sector.
Should the transaction fail to close, Windtree stands to receive an $8 million breakup fee under the terms of the agreement. However, the company remains confident in its refined trajectory and commitment to building a sustainable and profitable business model.
For the latest news on everything happening in Chester County and the surrounding area, be sure to follow MyChesCo on Google News and MSN.