News

17 Mar, 2023
Paladin Private Equity LLC (“Paladin”) today announced the closing of the acquisition of Tufropes Pvt. Ltd (“Tufropes”), alongside its investment partner, Aimia Inc. The Tufropes transaction represents Paladin’s first since its founding in December, 2022. Founded in 1992, Tufropes is one of the world’s leading global manufacturers of high-performance synthetic fiber ropes and netting solutions for the aquaculture and maritime sectors, as well as diversified industrial and commercial end markets. Through its modern, cost-efficient manufacturing facilities across India, Tufropes maintains the world’s largest fiber rope manufacturing capacity, capable of producing over 70,000 metric tons of rope and netting solutions per year. Tufropes boasts a product portfolio of over 35,000 individual SKUs and is uniquely positioned to capture an increasing share of several attractive end markets. Its revenue is geographically diverse, with its products sold in over 70 countries, with 34% of revenues generated in Europe, 34% in Asia, 20% in the Americas and 12% in Australasia. Arun Goel, Founder of Tufropes, said: "Over the past 31 years, Tufropes has grown to be a global leader in the manufacturing of synthetic fiber rope and netting solutions. Our dedicated team and valued business partners have built a robust global platform and the time is right for the business to scale to new heights. We believe that Aimia and Paladin are the right partners to captain the next phase of this journey. In changing hands, we have faith that the company will be able to deepen its relationships with all of our customers and develop new markets. We expect Tufropes' strong work ethic and culture of teamwork to continue while our company is introduced to new opportunities and diverse experiences and that this new chapter will catalyze our employees' individual and personal growth. We keenly anticipate the future of this growth story, as we pass the baton to our new partners." Paladin's Founder and Managing Partner, Tariq Osman, added: "Tufropes' manufacturing excellence and its modern and cost-efficient operating capabilities have already made the business a top global producer in each of its ~US$500 million end markets. We believe these to be a core tenant of future growth as customers continue to focus on mission-critical materials and ever-increasing safety and regulatory standards. We look forward to partnering with Aimia on this transaction to realize the full growth potential of the business." Eric Hauser, a Principal at Paladin mentioned: "We've seen an underlying and secular industry shift away from legacy steel wire ropes to high-performance synthetic fibers, and from commoditized netting solutions to high modulus polyethylene (HMPE) netting solutions. Tufropes is well-positioned to take advantage of these trends, and new management will seek to commercially advance the company's existing manufacturing and newly developed products on a global level." Paladin has partnered with Aimia on the transaction. In connection thereto, Aimia and Paladin have entered into certain agreements on customary terms and conditions and providing for, among other things, governance rights, certain carry related rights to the benefit of Paladin, and an option for Paladin to acquire an equity position in Tufropes from Aimia within one year of closing. Tariq Osman and Eric Hauser of the Paladin team will join the Board of Directors of Tufropes and support its strategic growth initiatives. Phil Mittleman, CEO of Aimia, said: "Tufropes represents an outstanding opportunity for Aimia and Paladin to invest in a global market leader, with a long track record of organic growth and strong free cash flow generation, while utilizing Aimia's sizeable tax attributes to further enhance returns for its stakeholders. The new executive leadership and expanded global sales team will support and grow Tufropes' long-standing relationships globally. We are excited to be partnering with Paladin Private Equity, whose experience and investment acumen will help Tufropes grow both organically and through potential acquisitions. We also wish to thank the Goel family for over 31 years of stewarding this company through an incredible period of growth and for their help in transitioning the ownership of this company. Aimia and Paladin were advised by J. Sagar Associates, Vedder Price and KPMG. About Paladin Paladin Private Equity LLC (“Paladin”) is a global private equity firm based in the US (Los Angeles & New York) and Germany (Hamburg) with a focus on investing in and building global market leaders within the industrial technology sector. Paladin’s investment strategy targets unique companies that dominate highly attractive niche markets encompassing highly-engineered, manufactured products and technology-enabled, business services. These companies are distinguished by deep and sustainable competitive advantages and with as yet unfulfilled global growth, lean management and digital technology, performance improvement potential. As a core part of its investment strategy, Paladin is deeply committed to achieving positive ESG outcomes within its portfolio companies, as a means to create long-term financial value from cost reductions, productivity improvements and new carbon offset revenue streams. Paladin’s investment team and senior advisor network have extensive experience advising management teams on global sales & marketing growth strategies (including new product development and geographic expansion), executing and integrating global M&A, optimizing complex global manufacturing, procurement, and supply chains and pioneering the use of lean management and cutting-edge digital technology to automate and modernize operations for maximum efficiency, quality, innovation and safe operations. Further information on Paladin can be found on the website: www.paladinprivateequity.com About Tufropes Founded in 1992, Tufropes is one of the world’s leading global manufacturers of high-performance synthetic fiber ropes and netting solutions. Tufropes’ highly engineered products are typically used in mission-critical applications in the aquaculture and maritime sectors, as well as diversified industrial and commercial end markets. Tufropes' products are known for their unique combination of design and performance characteristics (including the ability to operate in harsh maritime environments, abrasion resistance, high strength to weight ratios, UV radiation tolerance). Through its modern, cost-efficient manufacturing facilities across India, Tufropes maintains the world’s largest vertically integrated fiber manufacturing operations with capacity to produce over 70,000 metric tons of rope and netting solutions per year. Tufropes boasts a product portfolio of over 35,000 individual SKUs and through an in-house engineering team is uniquely positioned to capture an increasing share of several attractive end markets by developing tailored offerings, often in conjunction with its customers. Tufropes’ revenue is geographically diverse, with its products sold in over 70 countries, with 34% of revenues generated in Europe, 34% in Asia, 20% in the Americas and 12% in Australasia. Further information on Tufropes can be found on the website: www.tufropes.com About Aimia Aimia Inc. (TSX: AIM) is a holding company with a focus on making long-term investments in public and private companies, on a global basis, through controlling or minority stakes. The company owns a portfolio of investments which include: a 10.85% stake in Clear Media Limited, one of the largest outdoor advertising firms in China, a 48.8% equity stake in Kognitiv, a B2B technology company enabling collaborative commerce, a 10.8% equity stake in TRADE X, a global B2B cross-border automotive trading platform as well as a wholly owned investment advisory business, Mittleman Investment Management, LLC. For information on Aimia can be found on the website: www.aimia.com For more information about Paladin or the Tufropes transaction, contact: Tariq Osman Founder & Managing Partner, Paladin Private Equity LLC osman@paladinprivateequity.com
06 Mar, 2023
March 6th, 2023 Paladin Private Equity LLC (“Paladin”) today announced the signing of acquisition of Giovanni Bozzetto S.p.A. (referred to as “Bozzetto Group”, “Bozzetto”, the “Company”) alongside its investment partner, Aimia Inc. Following the signing of the Tufropes transaction on January 31st, 2023, Paladin and Aimia have now signed two transactions since Paladin’s founding in December 2022. Founded in 1919 and headquartered in Filago, Italy, Bozzetto is one of the world’s leading manufacturers of ESG-friendly specialty chemicals to the global textile industry. Bozzetto manufactures over 1,000 proprietary chemicals, over 75% of which are deemed to be ESG-friendly, Bozzetto has built a strong reputation as a pioneer of developing ESG-focused chemical solutions that align with secular trends in the global textile industry related to sustainability and targeting reductions in water, energy, and hazardous chemicals usage. Bozzetto currently operates with a global industrial footprint of 6 manufacturing facilities, servicing over 1,500 customers in more than 90 countries. Sales are generated across Europe, Middle-East & North Africa (combined for 49%), South-East Asia (24%), Turkey (15%), the Americas (8%) and China (4%). Under Paladin & Aimia’s ownership, the Company will seek to substantially expand into the Americas and Asia organically and through accretive acquisitions, further diversifying Bozzetto’s historical European focus. Paladin's Founder and Managing Partner, Tariq Osman, said: "We are thrilled to partner with Aimia to support Bozzetto’s outstanding management team for the company’s next chapter of growth. We are particularly excited to support a growth strategy to expand into the Americas as we believe this aligns well with the reshoring trend in the textile industry. Under our ownership, we intend to extend Bozzetto’s already excellent ESG credentials by supporting a program of operational initiatives aimed at reducing greenhouse gas emissions, improving productivity, reducing costs and generating new carbon offset revenue streams.” Roberto Curreri, CEO of Bozzetto, said: “This is a great moment for the Bozzetto Group. Our company has built upon its long-term heritage and over the last decade has been able to combine that with a renewed value proposition, which has been the main factor enabling us to face a number of challenges with confidence, and success. With the support of Chequers, the Group has diversified its product lines and geographical presence in its core markets through strategic acquisitions. Aimia and Paladin have been presented with a unique opportunity to continue down this path and grow further, with a particular focus on America. I am very excited about this new partnership and am fully committed to leading the company to even greater heights.” Paladin has partnered with Aimia on the transaction. In connection thereto, Aimia and Paladin have entered into certain agreements on customary terms and conditions and providing for, among other things, governance rights, certain carry related rights to the benefit of Paladin, and an option for Paladin to acquire an equity position in Bozzetto from Aimia within one year of closing. Tariq Osman and Eric Hauser of the Paladin team will join the Board of Directors of Bozzetto and support its strategic growth initiatives. Phil Mittleman, CEO of Aimia, added: “With an over 100-year history of operations, high margins coupled with strong cash flow conversion, and an excellent management team, Bozzetto represents an outstanding opportunity for Aimia to invest in an ESG-focused, global market leader. Over the past 18 months, the specialty chemicals industry has endured one of the most difficult periods in its history—including a spike in raw material prices, Covid-induced supply chain shortages and rapidly rising energy prices. Despite these challenges, Bozzetto remained resilient and maintained its strong growth and free cash flow profile. We see significant opportunities to continue to grow this business both organically and through accretive acquisitions, and we are in advanced discussions with several potential targets.” Aimia and Paladin were advised by Latham & Watkins. Chequers was advised by ADVANT Nctm and Lazard and Fineurop Soditic, while the Bozzetto management team was advised by GOP. About Paladin Paladin Private Equity LLC (“Paladin”) is a global private equity firm based in the US (Los Angeles & New York) and Germany (Hamburg) with a focus on investing in and building global market leaders within the industrial technology sector. Paladin’s investment strategy targets unique companies that dominate highly attractive niche markets encompassing highly-engineered, manufactured products and technology-enabled, business services. These companies are distinguished by deep and sustainable competitive advantages and with as yet unfulfilled global growth, lean management and digital technology, performance improvement potential. As a core part of its investment strategy, Paladin is deeply committed to achieving positive ESG outcomes within its portfolio companies, as a means to create long-term financial value from cost reductions, productivity improvements and new carbon offset revenue streams. Paladin’s investment team and senior advisor network have extensive experience advising management teams on global sales & marketing growth strategies (including new product development and geographic expansion), executing and integrating global M&A, optimizing complex global manufacturing, procurement, and supply chains and pioneering the use of lean management and cutting-edge digital technology to automate and modernize operations for maximum efficiency, quality, innovation and safe operations. Further information on Paladin can be found on the website: www.paladinprivateequity.com About Bozzetto Founded in 1919 and headquartered in Filago, Italy, Bozzetto is one of the world’s largest ESG-focused providers of specialty sustainable chemicals, offering sustainable textile, water and dispersion chemical solutions with applications in several end-markets including the textile, home and personal care, plasterboard and agrochemical markets. Bozzetto has over 1,500 long-standing clients in over 90 countries, an exceptionally vast portfolio of over 1,000 products and a global production footprint with 6 manufacturing facilities and over 500 employees worldwide. Further information on Bozzetto can be found on the website: www.bozzetto-group.com About Aimia Aimia Inc. (TSX: AIM) is a holding company with a focus on making long-term investments in public and private companies, on a global basis, through controlling or minority stakes. The company owns a portfolio of investments which include: a 10.85% stake in Clear Media Limited, one of the largest outdoor advertising firms in China, a 48.8% equity stake in Kognitiv, a B2B technology company enabling collaborative commerce, a 10.8% equity stake in TRADE X, a global B2B cross-border automotive trading platform as well as a wholly owned investment advisory business, Mittleman Investment Management, LLC. For information on Aimia can be found on the website: www.aimia.com For more information about Paladin or the Bozzetto transaction, contact: Tariq Osman Founder & Managing Partner, Paladin Private Equity LLC osman@paladinprivateequity.com
31 Jan, 2023
January, 31st 2023 Paladin Private Equity LLC (“Paladin”) today announced the signing of its acquisition of Tufropes Pvt. Ltd (“Tufropes”), alongside its investment partner, Aimia Inc. The Tufropes transaction represents Paladin’s first since its founding in December, 2022. Founded in 1992, Tufropes is one of the world’s leading global manufacturer of high-performance synthetic fiber ropes and netting solutions for the aquaculture and maritime sectors, as well as diversified industrial and commercial end markets. Through its modern, cost-efficient manufacturing facilities across India, Tufropes maintains the world’s largest fiber rope manufacturing capacity, capable of producing over 70,000 metric tons of rope and netting solutions per year. Tufropes boasts a product portfolio of over 35,000 individual SKUs and is uniquely positioned to capture an increasing share of several attractive end markets. Its revenue is geographically diverse, with its products sold in over 70 countries, with 34% of revenues generated in Europe, 34% in Asia, 20% in the Americas and 12% in Australasia. Arun Goel, Founder of Tufropes, said: "Over the past 31 years, Tufropes has grown to be a global leader in the manufacturing of synthetic fiber rope and netting solutions. Our dedicated team and valued business partners have built a robust global platform and the time is right for the business to scale to new heights. We believe that Aimia and Paladin are the right partners to captain the next phase of this journey. In changing hands, we have faith that the company will be able to deepen its relationships with all of our customers and develop new markets. We expect Tufropes' strong work ethic and culture of teamwork to continue while our company is introduced to new opportunities and diverse experiences and that this new chapter will catalyze our employees' individual and personal growth. We keenly anticipate the future of this growth story, as we pass the baton to our new partners." Paladin's Founder and Managing Partner, Tariq Osman, added: "Tufropes' manufacturing excellence and its modern and cost-efficient operating capabilities have already made the business a top global producer in each of its ~US$500 million end markets. Paladin believe these to be a core tenant of future growth as customers continue to focus on mission-critical materials and ever-increasing safety and regulatory standards. We look forward to partnering with Aimia on this transaction to realize the full growth potential of the business." Eric Hauser, a Principal at Paladin mentioned: "We've seen an underlying and secular industry shift away from legacy steel wire ropes to high-performance synthetic fibers, and from commoditized netting solutions to high modulus polyethylene (HMPE) netting solutions. Tufropes is well-positioned to take advantage of these trends, and new management will seek to commercially advance the company's existing manufacturing and newly developed products on a global level." Paladin has partnered with Aimia on the transaction. In connection thereto, Aimia and Paladin have entered into certain agreements on customary terms and conditions and providing for, among other things, governance rights, certain carry related rights to the benefit of Paladin, and an option for Paladin to acquire an equity position in Tufropes from Aimia within one year of closing. Tariq Osman and Eric Hauser of the Paladin team will join the Board of Directors of Tufropes and support its strategic growth initiatives. Aimia and Paladin were advised by J. Sagar Associates, Vedder Price and KPMG. About Paladin Paladin Private Equity LLC is a global private equity firm based in the US (Los Angeles & New York) and Germany (Hamburg) with a focus on investing in and building global market leaders within the industrial technology sector. Paladin’s investment strategy targets unique companies that dominate highly attractive niche markets encompassing highly-engineered, manufactured products and technology-enabled, business services. These companies are distinguished by deep and sustainable competitive advantages and with as yet unfulfilled global growth, lean management and digital technology, performance improvement potential. Paladin’s investment team and senior advisor network have extensive experience advising management teams on global sales & marketing growth strategies (including new product development and geographic expansion), executing and integrating global M&A, optimizing complex global manufacturing, procurement, and supply chains and pioneering the use of lean management and cutting-edge digital technology to automate and modernize operations for maximum efficiency, quality, innovation and safe operations. Further information on Paladin can be found on the website: www.paladinprivateequity.com About Tufropes Founded in 1992, Tufropes is one of the world’s leading global manufacturers of high-performance synthetic fiber ropes and netting solutions. Tufropes’ highly engineered products are typically used in mission-critical applications in the aquaculture and maritime sectors, as well as diversified industrial and commercial end markets. Tufropes' products are known for their unique combination of design and performance characteristics (including the ability to operate in harsh maritime environments, abrasion resistance, high strength to weight ratios, UV radiation tolerance). Through its modern, cost-efficient manufacturing facilities across India, Tufropes maintains the world’s largest vertically integrated fiber manufacturing operations with capacity to produce over 70,000 metric tons of rope and netting solutions per year. Tufropes boasts a product portfolio of over 35,000 individual SKUs and through an in-house engineering team is uniquely positioned to capture an increasing share of several attractive end markets by developing tailored offerings, often in conjunction with its customers. Tufropes’ revenue is geographically diverse, with its products sold in over 70 countries, with 34% of revenues generated in Europe, 34% in Asia, 20% in the Americas and 12% in Australasia. Further information on Tufropes can be found on the website: www.tufropes.com About Aimia Aimia Inc. (TSX: AIM) is a holding company with a focus on making long-term investments in public and private companies, on a global basis, through controlling or minority stakes. The company owns a portfolio of investments which include: a 10.85% stake in Clear Media Limited, one of the largest outdoor advertising firms in China, a 48.8% equity stake in Kognitiv, a B2B technology company enabling collaborative commerce, a 10.8% equity stake in TRADE X, a global B2B cross-border automotive trading platform as well as a wholly owned investment advisory business, Mittleman Investment Management, LLC. For information on Aimia can be found on the website: www.aimia.com For more information about Paladin or the Tufropes transaction, contact: Tariq Osman Founder & Managing Partner, Paladin Private Equity LLC osman@paladinprivateequity.com
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