Swisher Hygiene to sell U.S. operations

Charlotte-based Swisher Hygiene announced Thursday that it plans to sell its U.S. operations to a Minnesota company in a deal worth $40 million.

Swisher, a sanitation company that has been battling recurring losses, entered into the agreement with St. Paul-based Ecolab. The move comes just three days after Swisher announced the completion of the sale of its Canadian operations.

Ecolab plans to buy the stock of Swisher International and other assets of Swisher’s U.S. operations. Swisher, in a news release, said its U.S. operations comprise all of the company’s remaining operating interests.

Thursday’s deal is subject to stockholder approval and is expected to close during the fourth quarter of this year.

Swisher shares closed up 71 cents at $1.30 in trading Thursday.

It remains unclear what impact the sale might have on the company’s Charlotte operations. A representative for Swisher could not be immediately reached for comment. Roman Blahoski, a spokesman for Ecolab, said it would be premature to talk about potential impacts to Charlotte employment before the deal closes.

In a statement, Swisher CEO William Pierce said the transaction is in the best interest of the company’s stockholders “and creates a very positive opportunity for our customers and employees.” He said the deal will provide “a broader customer base of business, additional service support and the resources to expand our business and better service our customers.”

It marks the latest sell-off for Swisher, which said in April that it might have to reduce its operations or that it may default on loans if it could not improve its financial results or raise additional funds.

On Monday, the company reported a loss of $7.7 million in the second quarter, down from a loss of $15.1 million a year ago.

This story was originally published August 13, 2015 at 10:51 AM with the headline "Swisher Hygiene to sell U.S. operations."