As reported by the U.S.-based Waste Business Journal (www.wastebusinessjournal.com), billionaire Bill Gates is buying more Republic Services stock.
According to filings with the Securities and Exchange Commission, Gates' investment company Cascade Investment, LLC has purchased four million shares of stock between December 7 and 9, 2011 for about $108 million.
He now owns 65.15 million shares, representing about 17.5 per cent of the company.
The recent purchases are taking advantage of a yearly low point in the stock. which most analysts expect to reach $35.
The business is attractive for its relative stability and high cash flows. Republic more than doubled its sales through its merger with Allied Waste and achieved synergies, in excess of expectations and ahead of schedule.
For its third quarter ended September 30, 2011, the company exceeded analyst expectations for its fourth consecutive quarter, reported substantially stronger net income and revenue boosted by volume and pricing growth.