I Squared Capital has signed a definitive agreement to acquire Milestone Environmental, a Houston-based company specializing in waste management solutions for the energy and industrial sectors. The transaction will be conducted from SK Capital Partners and is expected to close in the fourth quarter of 2026, subject to regulatory approvals and customary closing conditions.
The transaction strengthens I Squared Capital’s presence in environmental infrastructure, an increasingly important segment for oil and gas production in the United States. Milestone Environmental operates 15 facilities authorized for the disposal of waste from drilling, completion, and production activities.
A fundamental network for the Permian Basin
Milestone Environmental’s facilities are located in some of the most active energy basins in the United States, including the Delaware and Midland sub-basins of the Permian Basin, Eagle Ford and Haynesville.
In addition, the company offers treatment and disposal services for liquid and solid waste generated by oil and gas operations. This capability is critical for operators who need to manage complex waste streams and meet environmental requirements in areas of high production activity.
Energy waste management with injection technology
Founded in 2014, Milestone has established itself as an independent provider of mud injection services. Its patented process enables the safe and cost-effective isolation of complex waste from underground oil fields.
Likewise, its network combines sludge injection facilities and landfills designed to offer comprehensive solutions to companies in the energy sector. According to corporate information, the company manages approximately one billion gallons of waste annually.
Expansion into industrial waste
With this acquisition, I Squared Capital also adds a platform that has already begun expanding into industrial waste management. Milestone applies its regulatory expertise, infrastructure, and geological capabilities to hazardous and non-hazardous waste streams from various sectors.
This diversification opens up an additional avenue for growth, especially in a context of increased demand for environmental infrastructure, regulatory compliance, and specialized services for industries with complex waste.
I Squared is committed to essential infrastructure
I Squared Capital, an independent global infrastructure investor with more than $60 billion in assets under management, believes Milestone is well-positioned due to its presence in the Permian Basin, its treatment and disposal capabilities, and its network of authorized facilities.
Gautam Bhandari, managing partner and investment director of I Squared Capital, highlighted that energy waste management is an essential part of the energy value chain, as it enables safer and more responsible oil and gas production.
For his part, Gabriel Rio, founder, president and CEO of Milestone Environmental, noted that I Squared is a suitable capital partner for the company’s next stage of growth, following twelve years of developing critical environmental infrastructure for oil and gas basins in the United States.
SK Capital closes a growth phase
SK Capital Partners acquired Milestone in 2023 and, during its time as owner, promoted the strengthening of the platform, the incorporation of capabilities and the expansion into new markets.
The financial terms of the transaction were not disclosed. Houlihan Lokey is acting as financial advisor and Latham & Watkins LLP as legal advisor to Milestone and SK Capital Partners. Simpson Thacher & Bartlett LLP is providing legal advice to I Squared Capital.
Source: Businesswire
Photo: Shutterstock
