Spring Grove-based Pixelle Specialty Solutions Holding LLC announced Monday that it has signed an agreement to be acquired by an affiliate of H.I.G. Capital, a leading global alternative investment firm with $48 billion of equity capital under management.
Pixelle’s website describes the company as “the largest and fastest growing manufacturer of specialty papers in North America.” H.I.G. Capital is headquartered in Miami.
A portfolio business of the private investment firm Lindsay Goldberg, Pixelle was formed in 2018. It operates mills in Spring Grove; Chillicothe, Ohio; Jay, Maine; and Stevens Point, Wisconsin, producing more than a million tons of paper each year.
Timothy Hess, Pixelle’s CEO, said in a release, “Together with Lindsay Goldberg, Pixelle has developed a broad, innovative portfolio of industry leading brands across the specialty papers and sustainable packaging markets. In under four years, we have transformed Pixelle into the leading specialty-focused paper producer in North America through three strategic acquisitions and successful implementation of a continuous improvement program. We thank Lindsay Goldberg for their partnership and look forward to our next chapter with H.I.G. Capital.”
Credit Suisse served as lead financial adviser to Pixelle on the transaction while Swaine & Moore LLP served as legal adviser. Credit Suisse and Macquarie Capital are providing financing.
Subject to customary closing conditions, including regulatory approvals, the deal is expected to be completed in the second quarter of 2022.