Blackstone Tactical Opportunities Announces Acquisition of Sustana, a Leading Manufacturer of Sustainable Recycled Fiber, Paper and Packaging

Blackstone (NYSE:BX) announced today that funds managed by its Blackstone Tactical Opportunities business (“Blackstone”) have acquired Sustana Group (“Sustana” or the “Company”), a leading manufacturer of premium, sustainable recycled fiber, paper and packaging products, from an affiliate of H.I.G. Capital (“H.I.G.”).

Headquartered in De Pere, Wisconsin, Sustana uses post-consumer materials and the high standards for environmental sustainability to produce a comprehensive suite of recycled fiber, paper and packaging solutions for customers throughout North America. It services a diversified customer base through four facilities, all of which have leading energy efficiency, water conservation systems, wastewater treatment technology and recycling of process by-products.

Andrea Serra, a Managing Director at Blackstone, said: “The increasing focus on environmental sustainability by businesses and consumers alike is one of Blackstone’s highest conviction investment themes – and we are proud to back Sustana, a fast-growing leader in this sector. We look forward to partnering with the company and its management team to continue accelerating their further expansion as they deliver leading sustainability products and solutions to their customers.”

Fabian De Armas, CEO and Chairman of Sustana, said: “Blackstone’s investment is a strong endorsement of our Company and our highly talented team, and launches an exciting new chapter for Sustana. Our team has built a leading sustainability platform in our markets and Sustana is well positioned for robust continued growth in partnership with Blackstone.”

TD Securities served as financial advisor to Blackstone, and Weil, Gotshal & Manges; Davies Ward PhillIps & Vineberg; and Simpson Thacher & Bartlett LLP served as legal advisors.

About Blackstone

Blackstone is the world’s largest alternative asset manager. We seek to create positive economic impact and long-term value for our investors, the companies we invest in, and the communities in which we work. We do this by using extraordinary people and flexible capital to help companies solve problems. Our $731 billion in assets under management include investment vehicles focused on private equity, real estate, public debt and equity, infrastructure, life sciences, growth equity, opportunistic, non-investment grade credit, real assets and secondary funds, all on a global basis. Further information is available at www.blackstone.com. Follow Blackstone on Twitter @Blackstone.

About Sustana

Sustana Group, comprised of Sustana Fiber and Rolland, is committed to industry-leading product quality, continuous improvement and environmental stewardship – by innovating solutions that are better for business, better for the environment and better for society at large. Sustana Group is proud to provide a comprehensive, sustainable pulp and paper solution for customers throughout North America. For more information visit: https://www.sustanagroup.com/

Wynnchurch Capital, L.P. today entered into a definitive agreement to acquire a majority of the  assets of Appvion Holding Corp. and its subsidiaries. 

“We are very excited to share that Appvion has a new sponsor. This sponsorship will enable new  investments, continued expansion, and additional resources that we collectively need to  accelerate growth in our AMS and Packaging & Specialty Coatings businesses. We see this as a  terrific opportunity to continue delivering the same great Appvion value our customers expect  while remaining fast, flexible, and responsive. Wynnchurch shares our values of safety, integrity,  and honesty and putting the customers first to deliver value. We are excited to partner with them  to pursue our next phase of growth.” said George Wurtz, Appvion’s President, Chief Executive  Officer & Chairman of the Board. 

“We are very excited to partner with George and the Appvion leadership team to continue to  deliver superior products and services to their customers as well as accelerating their future  growth plans in AMS and Packaging.” said Greg Gleason, Managing Partner at Wynnchurch  Capital Partners L.P. Wynnchurch Capital manages a number of private equity funds with $4.2  billion of committed capital under management and specializes in recapitalizations, growth  capital, management buyouts, corporate carve-outs and restructurings. They focus on leveraging  a business’s strengths and identifying new market opportunities to support management’s  vision—with an unwavering commitment to sound business judgment, partnership,  communication, and integrity. 

The deal was completed on December 3, 2021. 

About Wynnchurch Capital, L.P.  

Wynnchurch Capital, L.P., headquartered in the Chicago suburb of Rosemont, Illinois, with an  office in California, New York and an affiliate in Canada, was founded in 1999, and is a leading  middle-market private equity investment firm. Wynnchurch’s strategy is to partner with middle  market companies in the United States and Canada that possess the potential for substantial  growth and profit improvement. 

About Appvion 

Appvion was founded in 1907 and is a pioneer in the specialty and high-performance coatings  business. Headquartered in Appleton, Wisconsin, Appvion develops innovative, water-based,  and environmentally responsible coating solutions for consumers’ everyday life. Appvion’s  functional coating solutions are applied to a wide variety of flexible substrates, including  products from an FDA-compliant facility. Primary product offerings include direct thermal  paper and film solutions and renewable, fiber-based consumer and industrial packaging  solutions. As a leading manufacturer in North America, you can count on Appvion to tackle  your customers’ biggest challenges. Connect with us on Twitter and LinkedIn to learn more.

Augmented & Virtual Reality for Flexographic Printing Demonstration & Discussion

We would like to invite you to a special demonstration and discussion on how mixed reality (augmented reality and virtual reality) applications may provide the tools to train employees in flexographic printing. Our Learning Innovations team will demonstrate mixed reality applications and answer questions on how custom applications can be developed. We will also discuss grants that may be available to develop these applications.

Date: Thursday, December 16, 2021  |  9:00 am – 11:00 am

Location: D.J. Bordini Center  |  Appleton  |  Room BC141

Please register by clicking this link

We’ll offer a Microsoft Teams option when we get closer to the event, for those who have registered, but can’t attend in person.

For more information contact:

Dave Wuestenberg

Economic Development Manager

Office: 920-831-5416

Email: wuestenb@fvtc.edu

Fox Valley Technical College

5 N Systems Drive ● Appleton, WI  54914-1655

THE SCAN GROUP EXPANDS AGAIN 

Dynamic Waukesha Corporation Opens Fourth Wisconsin Facility 

[Waukesha, WI]: The Scan Group, Inc. announces their newest production facility in Waukesha, WI. This modern, 13,500-square foot plant expands operations for high-volume wide-format print, finishing, and fulfillment. As part of this expansion, The Scan Group has invested in new equipment which doubles their wide-format capacity. This innovative equipment includes a new Canon Arizona 6100 series XTS wide format printer, Zund 3XL-3200 digital flatbed cutter, and custom front-end technology.  

This expansion is the latest step taken by Scan Group to meet the growing demand for  high-quality print production and fulfillment. According to company president Dave Patzer, “This  strategic investment allows us to immediately gain speed, efficiency, and capacity to meet our  client’s growing needs. We chose this versatile space because it gives us the flexibility to expand  for the future. We’re ready to meet the rapidly rising demand for our services.”  

The secured facility will run multiple shifts with production, fulfillment, and shipping staff.  This fourth facility for The Scan Group joins their corporate headquarters in Waukesha, WI,  their e-commerce and design office in Menasha, WI, and their fulfillment warehouse and photo  studio in Waukesha, WI. 

WHY BIOPLASTICS?

A more sustainable product, bioplastics reduce the use of non-renewable, oil-based resources, which are increasingly scarce and unstable in price. Bioplastics also reduce greenhouse gas generation in the plastics industry. By incorporating bioplastics to offset the use of fossil fuel-based materials in the industry, it makes finished products made with bioplastics more valuable to conscientious consumers in the new plastics economy. Products made with bioplastics may meet unique requirements for combinations of recyclability and biodegradability in a variety of environments such as soil, landfill and home composting. Incorporating biobased options helps us achieve greater environmental sustainability in the new plastics economy also helping companies meet corporate objectives and environmental policies.

WHAT IS A BIOPLASTIC?

A bioplastic is a plastic that is made partly or wholly from materials derived from biological sources such as sugar cane, potato starch or the cellulose from trees, straw and cotton and wheat. Bioplastics are often designed so that they biodegrade or compost, aided by fungi, bacteria and enzymes. Bioplastics can generally be directly substituted for their oil-based equivalent. They can also be made to be chemically identical to the standard industrial plastics.

BIOBASED, BIODEGRADABLE AND COMPOSTABLE: WHAT IS THE DIFFERENCE?

Biobased is defined as commercial or industrial products (other than food or feed) that are composed, in whole or in significant part, of biological products or renewable agricultural or forestry materials.  Biobased content is determined by the ASTM D6866 testing method. This method, similar to radiocarbon dating, compares how much “new” or organic carbon (biological-based as defined above) is in a material compared to the amount of “old” or fossil fuel-based carbon it contains. 

Biodegradation occurs when materials are broken down by bacteria, fungi, or other biological means. Composting requires biodegradation in order for organic matter to decompose and be turned into fertilizer and soil conditioners. Biodegradation and decomposition are processes that are a part of composting. Biodegradation can occur without composting, but composting cannot occur without biodegradation! Biodegradation is a process, not an end result. 

Biodegradation is not the same as composting. Composting requires high heat conditions (50-700 C), usually in an industrial facility, for organic matter to decompose and be turned into fertilizer and soil conditioners. To claim compostability, a material must first disintegrate, and then biodegrade by 90% within 180 days. It must also pass tests for low levels of plant toxicity and heavy metal content. Meeting all of these standards leads to meeting ASTM D6400 compostability standards.

TWO TYPES OF BIODEGRADATION

Anaerobic digestion occurs when microorganisms break down material in the absence of oxygen. It is used in industrial processes to manage waste or to produce fuels. Anaerobic digestion occurs naturally in some soils as well as in landfills. Methane (CH4) and carbon dioxide (CO2), both greenhouse gases, are two end products of this process.

Aerobic digestion occurs when material is broken down in the presence of oxygen. It has traditionally been used as a sewage treatment process, but recent technology allows for the aerobic treatment of food, cardboard, and plant waste in industrial compost facilities and water environments. Water vapor, carbon dioxide, and ammonia (NH4) are end products of this process.

BEWARE OF “GREENWASHING” OXO-BIODEGRADABLE PRODUCTS

Oxo-biodegradable plastic is made by blending a pro-degradent additive into a plastic during the extrusion process. This additive is a catalyst which speeds up plastic degradation in the environment, leaving residue and small fragments. However, there is a considerable risk that these fragmented plastics will not fully biodegrade and the subsequent risk of an accelerated and accumulating amount of harmful microplastics in the environment. The most desirable result for waste plastic products is that they completely biodegrade. 

Beware of “biodegradable” claims, and remember to make sure when purchasing biodegradable products that they meet specified BPI-approved, ASTM D6400 or D6868 standards.

Please keep in mind that your company is responsible for any claims that it makes regarding the functional and environmental performance of products or polymers that are biobased. Please consult your sustainability, regulatory and legal departments before making such claims. Proper certification also promotes proper use, disposal and reuse of plastic products.

We can help you develop a certification roadmap that includes the testing protocols that can lead to your specific product being promoted and/or certified as biobased, compostable or biodegradable. Feel free to contact us at New Composite Partners for more information.

Wisconsin-based genset producer is the only North American firm to earn gold

Robinson, Inc., a leader in the design and production of generator set (genset) power systems, is one of only three companies worldwide to receive the Gold Award for suppliers from Rolls-Royce. The award was presented by Rolls-Royce Solutions America, the regional headquarters for the Power Systems division of Rolls-Royce.

“Robinson has been integral to the growth of our power generation business since 2012,” states Chris Lowry, senior manager strategic purchasing for Rolls-Royce Solutions America Inc. “Robinson’s quality support of its own genset enclosures as well as those outside its own projects is extremely valuable. It comes down to having a good team culture and the ability to consistently produce at a high level.”

Robinson, based in De Pere, Wisconsin, is the only company out of approximately 1,200 active suppliers to earn a Gold Award from Rolls-Royce Solutions America. Criteria for the award included quality, on-time delivery and customer support.

This is the first time Rolls-Royce has recognized a systems supplier such as Robinson with an award. Power generation is an area of growth for Rolls-Royce, and Rolls-Royce Solutions America is focused on continuing to expand offerings that are full solutions for its customers. Robinson has built nearly 400 gensets for Rolls-Royce in the past nine years.

“There is a lot that goes into receiving this level of recognition,” comments Jim Birkholz, assistant general manager for Robinson. “We pushed ourselves out of our comfort zone to continuously improve our systems, processes and programs so we can better serve Rolls-Royce.”

About Robinson, Inc.

Robinson, Inc., is a single-source metal solutions provider based in De Pere, Wisconsin. Robinson offers manufacturing and design expertise in fabrication and machine; pipe and vessel; custom enclosures; product handling; and portable fuel solutions. The company employs more than 500 people at three locations comprising 500,000 square feet of manufacturing space.

For more information about Robinson’s capabilities or to request a quote, please call (920) 358-6757, or visit https://www.robinsoninc.com.

Recognizing the Challenge: If you ask a manufacturing executive to describe their biggest challenge, they will probably say it’s attracting and retaining labor. The labor shortage has proven to be a significant concern for all manufacturers.

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