UPDATE 3-Canada's IESI-BFC to acquire rival Waste Services

* Acquisition valued at about $370 million

* Deal expected to close in first quarter of 2010

* IESI-BFC shares up 1.2 pct; WSI stock up 3.5 pct (Adds analysts' comments, details on deal, byline. In U.S. dollars unless noted)

By Euan Rocha

TORONTO, Nov 11 (Reuters) - IESI-BFC Ltd (BIN.TO) will acquire fellow Canadian trash hauler Waste Services Inc (WSII.O) in an all-stock deal worth $370 million that will create North America's third-largest solid-waste management company, the companies said on Wednesday.

The deal will help IESI-BFC, the No. 4 North American trash hauler, expand its presence in Canada and allow it to establish a presence in the U.S. state of Florida, IESI-BFC Chief Executive Keith Carrigan said.

"More importantly, this transaction will allow our two companies to grow more meaningfully than they could on their own," he added.

Based on 47.66 million Waste Services shares outstanding and an exchange ratio of 0.5833 of an IESI-BFC share for each Waste Services share, the takeover offer implies a deal value of $370 million.

The deal values Waste Services at $7.76 per share, a 7.2 percent premium to its closing share price of $7.24 on Tuesday.