After raising a $70 million Series D funding round in January — the region's second-largest this year — Pittsburgh-based RoadRunner Recycling Inc. announced the acquisition of what it claims is "the world’s largest" waste and recycling smart metering technology company.
By acquiring San Francisco-based Compology, RoadRunner will look to grow its sustainability offerings by improving its own data collection, artificial intelligence and environmental, social and governance (ESG) reporting capabilities. Compology obtained the prestigious certified B Corp status, awarded to for-profit companies that meet strict social and environmental performance metrics, which will further aid RoadRunner in its mission to improve waste recycling offerings for businesses.
RoadRunner declined to disclose the financial terms of the transaction.
It did share, however, that all Compology employees will join RoadRunner, bringing the Pittsburgh company's total employee count to about 600 workers across the country. That's a figure that has more than doubled this year and is in line with the goals that RoadRunner outlined following its latest funding round. According to figures from Crunchbase, it's estimated that Compology had between 51 and 100 workers. Crunchbase also reported that Compology has raised about $38 million in funding to date, the most recent of which being a $17.1 million Series B funding round it obtained in July 2019.
"The future of sustainable waste and recycling management requires smart technology and intelligence," Graham Rihn, founder and CEO of RoadRunner Recycling, said in a prepared statement. "We couldn’t be more excited to join forces with Compology, a team that brings industry-leading technology and a shared passion for using data to help businesses increase recycling and operate more sustainably, while spending less for better service."
Compology's metering tech uses smart cameras and AI to obtain insights like how full a dumpster is, what's inside it and when its last servicing occurred. RoardRunner envisions integrating this tech into its own waste recycling offerings.
"Data-driven solutions are essential tools for businesses to achieve their sustainability goals," Jason Gates, co-founder and CEO of Compology, said in a statement. "Combining our platforms is a monumental step toward making cost-effective, sustainable waste management a reality for organizations."
RoadRunner is based in downtown Pittsburgh. Founded in 2014 by Rihn, the company specializes in providing businesses with technology-driven and custom-tailored solutions for commercial waste recycling. RoadRunner handles cardboard, paper and mixed recycling as well as food composting needs for businesses. It also manages recyclable waste pickup for its customers through a network of fleet-based, licensed vehicle operators.
At the time of the last funding raise, Rihn said he viewed the Series D round as being what will potentially take the company to its eventual IPO in the coming years. RoadRunner has raised $129.5 million in funding to date.
