Midwest Paper manufactures and distributes different grades of paper


Industrial Opportunity Partners has acquired Midwest Paper (Credit: Horst Tinnes / Pixabay)

Industrial Opportunity Partners (IOP) has acquired Midwest Recycled and Coated Containerboard Mill (Midwest Paper) for an undisclosed sum.

Based in Combined Locks of Wisconsin, Midwest Paper is a paper mill engaged in the manufacturing and distribution of different grades of paper.

The company produces various grades of paper such as recycled containerboard, including medium and linerboard, for corrugated packaging applications.

Midwest Paper produces natural kraft and bleached packaging products

Midwest Paper also manufactures recycled bag products and white paper for book publishing and printing/writing applications. Also, it produces natural kraft and bleached packaging and printing and writing grades.

IOP operating principal Dave Mackin will serve as chairman for Midwest Paper. He is a member of IOP’s board of operating principals.

Mackin said: “We look forward to partnering with the Midwest Paper management team in continuing to enhance the Company’s production capabilities with a focus on delivering high levels of customer service and quality.”

JP Morgan Chase Bank and Chemical Bank offered the senior debt financing for the deal, while Yukon Partners provided the subordinated debt financing. McDermott Will & Emery offered legal representation to IOP in the deal.

Midwest Paper vice president Mike Deprey said: “The Midwest Paper management team and I are looking forward to our partnership with IOP. We believe IOP’s operations‐focused approach will assist us in optimizing all aspects of our business to support continued growth and better serve our customers.”

With $910m committed capital, IOP is a private equity firm that invests in manufacturing and value-added distribution businesses with revenue between $30m and $400m.

In 2018, Midwest Paper Group announced an investment of $30m to reconfigure the former Appleton Coated mill located in Combined Locks, Wisconsin and create up to 321 jobs.

As part of the reconfiguration project, Midwest Paper planned to convert the facility that produces printing and writing grades of paper to accommodate the production of packaging grades.