WESTBOROUGH, Massachusetts: United Site Services, the largest provider of portable sanitation systems in the United States, has filed for bankruptcy protection in New Jersey as it seeks to shed US$2.4 billion in debt and transfer ownership of the company to its lenders.

The company, which owns around 350,000 portable restrooms and is backed by private equity firm Platinum Equity Partners, said a majority of its lenders have agreed to support the restructuring plan. Court filings show, however, that at least one major creditor opposes the proposal and could pursue "delay and litigation."

United Site Services said it plans to continue operating during the bankruptcy process and will be funded by a new $120 million loan provided by existing lenders. It aims to complete the court-supervised restructuring by February 2026.

If approved, the plan would fully repay senior lenders while eliminating $2.4 billion of lower-priority debt by converting it into equity, effectively wiping out Platinum Equity's current ownership stake.

The Westborough, Massachusetts-based company said its heavy debt load — accumulated through years of acquisitions and expansion — became unsustainable as inflation rose and U.S. residential construction slowed. Construction sites are among its largest customers, and reduced building activity cut into revenues just as fuel, labor, and interest costs climbed, according to court documents.

United Site Services said it is the largest portable sanitation provider in the country, serving clients such as the Super Bowl, the Federal Emergency Management Agency, major music festivals, and residential construction projects.

Private equity firms have owned the company for more than a decade. Platinum Equity acquired United Site Services in 2017 from another buyout firm and attempted to sell the business in 2021. When that effort failed, Platinum instead created a new investment fund to retain ownership, a stake that will now be eliminated under the proposed restructuring.

To support operations after bankruptcy, United Site Services plans to raise additional capital through a $480 million equity rights offering and a $300 million exit loan.

The company employs about 3,000 people and serves more than 70,000 customers nationwide. Its products range from basic single-user portable toilets to high-end mobile restroom trailers equipped with running water, electricity, and air conditioning. It also provides related services such as waste transport, cleaning and maintenance, as well as temporary fencing and barricades.

The case is United Site Services Inc, U.S. Bankruptcy Court for the District of New Jersey, No. 25-23630.