Using post-consumer materials, Sustana produces its products that are marketed in high-value end markets such as food packaging, packaging and premium sustainable papers
H.I.G. Capital, a US-based alternative assets investment firm, has divested its portfolio company Sustana Group to funds managed by Blackstone Tactical Opportunities for an undisclosed sum.
Based in De Pere, Wisconsin, Sustana is involved in the manufacturing of speciality recycled fibre and sustainable packaging and paper products.
Blackstone managing director Andrea Serra 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.”
Sustana Group, which includes Sustana Fiber and Rolland, offers a comprehensive, sustainable pulp and paper solution for customers across North America.
Rolland, which produces sustainable papers using post-consumer recycled fibre, markets Enviro product line to customers in North America.
Sustana Fiber is engaged in the manufacturing of premium and eco-friendly sustainable recycled fibres to customers across the continent. It markets EnviroLife, EnviroTouch, EnviroBright and EnviroNatural recycled fibres.
Using post-consumer materials, Sustana Group produces its products that are marketed in high-value end markets such as food packaging, packaging and premium sustainable papers.
The company manages four facilities, which feature energy efficiency, water conservation systems, wastewater treatment technology and recycling of process by-products.
Sustana chairman and CEO Fabian De Armas 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 acted as financial advisor to Blackstone on the transaction, while Weil, Gotshal & Manges, Davies Ward Phillips & Vineberg and Simpson Thacher & Bartlett served as legal advisors.
Robert W. Baird & Co served as an exclusive financial advisor to H.I.G. and Sustana on the deal, while McDermott Will & Emery acted as legal advisor.
Earlier this year, H.I.G. Capital completed the acquisition of Jackson Paper Manufacturing and Sustainable Corrugated (JPM).