Acquired by IPL Global, Bright Green Plastics Eyes on Growing Its Recycling Power

 IPL Global, a Canada-based plastic packaging manufacturer, has acquired Bright Green Plastics that recycles around 40,000 tonnes of the UK’s plastic waste every year. The acquisition was made from American Industrial Acquisition Corporation (AIAC), a US-based global investment firm. Following the acquisition, Bright Green Plastics eyes on growing its recycling power with more opportunities in the industry for a sustainable earth.

Bright Green Plastics is a Yorkshire-based plastic reprocessing and recycling firm with an aim to contribute to the global economy with its waste solutions. The firm began as a Linpac Group. Subsidiary in 1992 and established itself as a reputed name in the plastics processing industry. AIAC acquired it in 2019 to reform its business operations and financial value by proving various investment opportunities in the sector. Its current name “Bright Green Plastics” was given by the chairman and founder of the AIAC Group Leonard Levie to reform the firm's business valuation and identity.

AIAC’s reforms have shown the positives as Bright Green Plastics is now looking to grow its recycling prowess with a six-figure investment in a plastic sorting plant. The company will use a whopping sun of £750,000 to upgrade its facility with new ground-breaking machinery for washing and extruding to make the post-consumer waste solution more efficient. The firm has also received a £6m funding facility from Bibby Financial Services for expanding its operations in entire Europe.

After acquisition from AIAC, IPL global has made its plans very clear with Bright Green Plastics. IPL global is looking to increase the recycling capabilities and capacity of the firm by investing in new equipment and innovative projects. It aims to supply high-quality recycled products and compounds to consumers in many sectors. Bright Green Plastics uses state-of-the-art recycling and manufacturing processes to transform post-consumer plastic waste into usable recycled compounds.

Ian Farquhar, IPL Global UK managing director, said: “We are delighted to have Bright Green Plastics as part of our network of businesses. Our shared values, coupled with impressive breakthroughs in the development of recycled polymer formulas for a wide variety of applications, means that together we can offer sustainable solutions the market is looking for." IPL Global completed the acquisition of Bright Green Plastics from American Industrial Acquisition Corporation (AIAC) on 8 December.

Following the acquisition, Bright Green Plastics’ general manager Steve Spencer, said, “This acquisition will provide the global assistance to accelerate significant technical developments, ensuring as much recycled plastic as possible is ploughed back into the manufacturing cycle while lessening reliance on virgin plastic.” Mr. Spencer said, “Anyone that comes across our business knows we are passionate about plastic recycling.

White House Recommends Strategies to Pharmaceutical Manufacturers to Enhance Supply Chain Security and Resiliency in the USA

 White House releases a report on June 8, 2021, which consolidates supply chain assessments for industrial manufacturing advanced packaging, high-capacity batteries, critical and strategic defense materials, and pharmaceutical ingredients in the USA. The report, entitled Building Resilient Supply Chains, Revitalizing American Manufacturing, and Fostering Broad-Based Growth, evaluates supply chain vulnerabilities in America’s supply chain and proposes policies and strategies to different departments in this post, we will focus on recommendations made to the Department of Health and Human Services for pharmaceuticals and active pharmaceutical ingredients (APIs).

The report highlights an approach in terms of international cooperation and partnerships to enhance supply chain security and resiliency in the country. It is essential to strengthen the United States' national and economic security and technological leadership. According to this report, the following factors contribute to supply chain vulnerabilities in the country across all sectors:

·         Insufficient U.S. manufacturing capacity

·         The current U.S. investment market is rewarding to firms for quality, sustainability, or long-term productivity. The market is focused on maximizing short-term capital returns, which results in long-term resilience.

·         U.S Domestic competitiveness has declined due to underinvestment in the domestic industrial base.

·         Key supply chains are concentrated in nations like India and China due to geographical and demographical advantages

·         Underinvestment in international diplomatic efforts for supply chain security

The report acknowledges that the U.S. is lagging in domestic manufacturing and cannot produce all necessary products. The country should focus on expanding domestic manufacturing with supplement efforts and international cooperation to enhance supply chain security and resilience.

What’s there for Pharmaceuticals and APIs in the report

The review of pharmaceuticals and APIs for the Department of Health and Human Services (HHS) primarily focused on the supply chain for therapeutic biological products and small-molecule drugs. it doesn’t focus on supply chains for blood products, vaccines, cell therapies, and their APIs.

In its review, the Department of Health and Human Services (HHS) identifies the following features to establish a robust pharmaceutical supply chain for a long-term plan:

·         High-quality product manufacturing

·         Supply chain diversification

·         Supply chain redundancy

·         A flexible supply chain structure to meet supply and demands 

The HHS’s review prioritizes two objectives that need to be addressed in order to improve the reliability of pharmaceutical and API supply chains in the U.S. market.

·         To improve supply chain transparency and incentivize resilience for the quality of drug manufacturing.

·         To increase the economic sustainability of drug manufacturing and distribution to provide predictability in productions and demands. 

The HHS feels the need for a rigorous assessment of benefits and costs across the healthcare system, encouragement stakeholders for domestic investments, and market-based mechanisms to provide a more sustainable and resilient supply chain for pharmaceutical and APIs.

HHS sets a strategic approach through some recommendations to promote domestic growth, equity, and resilience in the pharmaceutical supply chain. The Department of Health and Human Services feels that there is a need for collaboration with the federal government, the private sector, and other non-governmental stakeholders to:

·         Boost Local Production and Fostering International Cooperation

·         Build Emergency Capacity

·         Promote International Cooperation

Pharmaceutical manufacturing and distribution companies should monitor these reviews and recommendations in order to enhance supply chain capability, security, and resiliency for overall growth. These companies should look for financial and market opportunities through investment and disinvestments in partnership with firms seeking to invest and build underperforming and non-core manufacturing and distribution companies with advanced manufacturing technologies. 

American Industrial Acquisition Corporation (AIAC), a global investment firm based in New York and founded by Leonard M. Levie, seeks to invest in the pharmaceutical sectors through acquisition opportunities to meet the financial commitments of underperforming companies. It is a great opportunity for pharmaceutical manufacturing companies to restructure and rebuild themselves through a disinvestment process to enhance supply chain security and resiliency in the U.S.

What does it mean to streamline the manufacturing and packaging of OSDs for pharma companies?

 The pharmaceutical industry has already been under immense pressure to reduce drug development timelines and related costs long before the pandemic. However, with the rise of the Covid-19 pandemic, challenges have gotten even more difficult for the industry. That’s why many medicine developers are choosing to manufacture and package oral solid dose (OSD) with the help of contract manufacturing organizations (CMOs). 

What Makes CMOs for OSD Manufacturing and Packaging a Cost-effective Choice?

Many drug development challenges, like the more complex nature of new molecules and their bioavailability, formulation, stability, manufacturability, and scalability make the production of OSDs even more complicated. CMOs not only brings expertise in manufacturing of OSDs but also offers the advantages of access to advanced technology, state-of-the-art manufacturing facility, formulation ideas, and processing innovations to pharmaceutical companies.

However, in general, pharmaceutical companies outsource their OSD manufacturing and packaging projects to two different contract manufacturing organizations. It is because most CMOs handle either OSD manufacturing or OSD packaging but not both. While this is a viable solution to get the manufacturing and packaging of OSD products done cost-effectively, outsourcing these operations to two different CMOs has its own drawbacks. 

Why collaborating with two CMOs for OSD manufacturing and packaging is not the best solution?

Understandably, working with CMOs to manufacture and package your OSD products sounds like a good solution as you get the benefit of their expertise and cutting-edge technology they are equipped with at a fraction of the cost. But, connecting with two different CMOs also means you will need two different partners for management and two different supply chains.

In addition, the drug manufacturing company is required to mediate product transfer to another CMO. This, in turn, only adds to the time and cost of bringing OSD products to the market. 

The best solution to eliminate the need for two managing partners and different supply chains and reduce the cost and time of supplying the market with desired OSD products is to seek a contract manufacturing company that offers both - manufacturing and packaging solutions for OSD products.

Is there any CMO that offers manufacturing and packaging solutions for OSD in one place?

Yes. Undeniably, the complexity of the supply chain and associated issues has been brought into the brighter spotlight by the pandemic. The best way for pharmaceutical companies to weather this public health crisis is to integrate their supply chains to at least some degree. 

Working with a single CMO that complies with GMP requirements for both manufacturing and packaging of OSDs at a single site is the best solution for drug companies to streamline their operations and optimize their resources for each project. It will help drug and pharmaceutical companies to get their OSD products faster to the market and ultimately to patients in need at more affordable rates.

Avara Pharmaceutical Services is an esteemed CMO based in Norman, Oklahama where manufacturing and packaging of oral solid dose (OSD) drug products are done under the management of one integrated team. The company’s Chairman and Director, “Leonard Levie” aims to tackle the current challenges and better prepare for a better future. The same vision he likes to imbibe in the culture of the companies he is a key part of. 

Consequently, Avara, supported by a strong safety, health, and environmental system along with Lean Six Sigma methodologies, brings a wealth of expertise and industry knowledge in various operations such as supply chain, commercialization, and technical transfer for faster and affordable production of advanced medicines.

This means collaborating with Avara enables pharma companies around the world to overcome their challenges and address the patients’ medical needs while reducing the overall cost.

AIAC’s Bright Green Plastics Acquired by a Global Sustainable Packaging Solution Provider

 The importance of plastic recycling is greater than ever as it reduces the harmful impact on the environment by lowering the need for extracting, refining, and processing raw materials. Since recycling saves energy, it also helps reduce the emission of greenhouse gases responsible for climate change. Besides, it also minimizes our need for producing and using virgin plastic.

When leaders of the industry are seen working in this direction, it sets a great example for others as well. One such instance is the recent acquisition of Bright Green Plastics that has been smartly fortified by Leonard M. Levie. 

Bright Green Plastics, the leading British reprocessing firm, has recently been acquired by the Irish multinational IPL Global from the American Industrial Acquisition Group (AIAC). This buy-out of the West Yorkshire firm is exciting endeavor as the company will enable its new owner - IPL Global - to offer a full recycling service. The plant will allow the Irish company to sort mixed plastics and 3D materials collected from curbside recycling programs by polymer type and color.

As of now, Bright Green Plastics is recorded to handle 40,000 tonnes of plastic every year and is operated with a strong workforce that consists of skilled 130 employees. The good news is that the company will not only contribute towards better environmental health but also continue to be managed under the existing management team. Meaning, the employees’ jobs are safe, which is often a big concern during an acquisition. 

Bright Green Plastics came into existence as a plastic packaging company in 1992. At that time, it was called Linpac Plastics Recycling and operated as a subsidiary of the LINPAC Group. Later, in 2019, the company was acquired by Leonard M. Levie - the founder of American Industrial Acquisition Group (AIAC) and got rebranded as Bright Green Plastics in 2020.

In June 2020, the company announced a £750,000 investment in its plastic sorting plant to upgrade its facility. Last summer, under the new leadership, the company also won Plastics Recycling Business of the Year at the letsrecycle.com Awards for Excellence. Its plant in Castleford specializes in the recycling of PP and HDPE plastics that are sourced from household waste and commercial products. 

During the acquisition, General Manager Steve Spencer who joined Bright Green Plastics in 2019, said “Anyone that comes across our business knows we are passionate about plastic recycling”. He also added that this acquisition will provide the global assistance to accelerate significant technical developments, ensuring as much recycled plastic as possible is ploughed back into the manufacturing cycle, whilst lessening reliance on virgin plastic.

On the other hand, IPL Global’s UK Managing Director, Ian Farquhar expressed his delight by sharing that it’s this passion and commitment to innovation that fascinated them to Bright Green Plastics and said that this new addition will contribute to ongoing growth and success. 

This acquisition is a stellar example of how great leaders like Leonard M. Levie see potential in small businesses and how they set to see a tremendous growth when fueled with needed funds and strategic planning.

Leonard M. Levie Not Just Acquires Businesses But Also Takes Care of Employees

 When a business doesn’t perform well or make enough profits to survive longer, it stands on the edge of falling apart. Not taking the right step before things get worse means not only leading the business to utter failure but also leaving its employees stranded in the middle of nowhere.

Most often, when an acquisition occurs, employees start immediately worrying about what will happen to their jobs. Many acquirers let go of old employees; however, with well-thought strategies, employees can be retained. One great example of humane acquisition is Leonard M. Levie. 

What makes Leonard M. Levie a better acquirer than others?

Leonard M. Levie is the famous name in the United States as an esteemed founder of the AIAC Group, American Industrial Acquisition Company, and Its Subsidiaries and Affiliates. AIAC is a privately held, global industrial group with holdings in 24 countries across North America, Europe, and Asia. He is not just a smart acquirer but also a guest lecturer and a member of a plethora of educational, management, and various different types of private clubs, associations, and societies.

Since the inception of AIAC, Leonard M. Levie is known to build an impressive portfolio that consists of 78 manufacturing and distribution sites. He focuses on acquiring underperforming and non-core manufacturing and distribution businesses from both public and private corporations. Though Mr. Levie is heavily invested in acquiring industrial manufacturing companies, he never focuses on just transforming a failing business into a profiting business. What he also focuses on is boosting the economy of the region where those businesses are located by retaining employees, improving revenue, and bolstering the operations and quality. 

We aren’t just saying this but there is also data to back this up. Let’s look at the case study of Canadian Kraft.

As soon as Leonard M. Levie heard about the announcement of Tolko Industries regarding the closure of its unprofitable paper and pulp mill - Canadian Kraft - in The Pas, Northern Manitoba, he made the move to keep the mill running and prevent the economy from crashing down. 

Soon after the announcement of shut down of Canadian Kraft, the mill’s 330 union employees were seemed to be preparing for their own unemployment during unforgiving conditions of a long, lean winter. Three hundred woodland contractors had already lost their jobs, residential real estate values dropped 25 percent in only a few months, and the 12 First Nations (indigenous people) of the area prohibited access to the fiber and locked up the forests.

Despite this severe crisis, an AIAC affiliated company purchased the mill just three weeks before the scheduled shutdown and started working to reverse the situation of the mill. 

After weeks of negotiation and constructive discussions, Leonard M. Levie was able to bring together three labor unions. He helped them understand that the mill can still flourish with their support, convinced the twelve First Nations to allow access to their lands, and got a 5-year property tax reprieve from the Town of The Pas.

After 4 months of intense hard work of employees, well-planned investments, and better management, the mill returned to full health, and by 2018, the mill’s supply items again started having huge demand as the new management interacted with each customer personally and assured them with long-term commitment. 

It is a great example of what a compassionate and intelligent person Leonard M. Levie is and how he works hard in ensuring that everybody right from the shareholders, employees, and customers benefit from their acquisition and not just them.

MADES, a Leonard Levie Owned Subsidiary, Becomes the Perfect Business Expansion Plan for Latécoère

Founded by Leonard Levie in 1996, American Industrial Acquisition Corporation “AIAC” has recently entered into definitive transaction documentation with Latécoère regarding the acquisition of Malaga Aerospace, Defense & Electronics Systems “MADES”. This is the third external growth transaction made by Latécoère - the leading partner of major international aircraft manufacturers, since the completion of the capital increase in August.

The Journey of MADES as the Key Electronic Manufacturing Services (EMS) Provider under the Leadership of Leonard Levie 

The company MADES was acquired by the founder of AIAC, Leonard Levie, in 2015 from Raytheon. This was the time when the Malaga plant was renamed to Malaga Aerospace, Defense, and Electronics Systems (MADES).

After acquisition, Leonard Levie decided to retain the strategy of the Malaga plant, its systems, human resources, and clients and provided the plant greater freedom to explore different markets and new opportunities. 

Being a subsidiary of AIAC, MADES has improved its robust systems continuously and technological development efforts. The AIAC has undertaken all the investments required for the expansion and enhancement of MADES.

At present, MADES provides excellent services for industrialization, manufacture, testing, and integration of cutting-edge electronic systems to the aerospace and defense sectors not only in Spain but internationally. Equipped with various reputable certifications, MADES is geared by the hard work of highly skilled and trained employees and passion of Leonard Levie. 

After dedicating immense efforts and providing complete support for more than half a decade, MADES has been transformed into a successfully running company and positioned at the forefront of innovation and technology.

What Makes MADES Perfect Business for Expansion for Latécoère?

With the constant deliverance of quality and higher customer satisfaction, the supplier of high-precision electronic systems - MADES is a key player in the industry with the focus on printed circuit boards (PCB) for defense, commercial aviation, and industrial-end segments. That’s what makes MADES a perfect business expansion choice for Latécoère. 

MADES will provide Latécoère with vertical integration opportunities and help them fulfill the complete product requirements of their Electrical Wiring Interconnection Systems (EWIS) clientele. Plus, it will also equip Latécoère with new solutions for future generation aircraft and help strengthen the position of Latécoère in the US Defense market segment.

Leonard Levie has always been dedicated to supporting underperforming businesses and companies that need financial backing and good leadership. He is driven by the passion of helping fledgling small and big businesses alike that struggle to move ahead and establishing those businesses as successful ones. MADES is another great example of how he improves the state of businesses at an exponential rate. 

Now, when a great opportunity for MADES to further serve the defense and aviation industry presented itself that will eventually benefit MADES and its stakeholders, he is happy to turn the next chapter of success for MADES under the stewardship of Latécoère.

Champlain Will Supply High-Performance Cables for Over 200 MARTA Rail Cars!

 The success of a company is the benchmark of those victories which reflect its commitment to innovation and quality. Champlain Cable, a subsidiary of American Industrial Acquisition Corporation owned by Leonard Levie, has achieved such a benchmark by winning the subcontract of the Stadler Rail Car Project.

Stadler US Inc. was awarded the contract of metro trains by the Metropolitan Atlanta Rapid Transit Authority (MARTA). The MARTA METRO Project is a multi-year contract that is worth several million dollars and is meant to develop metro trains intended for service to the world’s largest airport, Hartsfield-Jackson Atlanta International Airport. 

To successfully complete the order of metro trains on time, Stadler is looking for partners who can supply the best quality components. Stadler selected Champlain Cable to supply high-performance wire and cable for more than 200 rail cars for the MARTA Metro project.

This is a moment of celebration for Champlain Cable for being recognized at such a huge level for its sheer dedication to innovation, compliance, responsiveness, and attention to detail. 

According to the agreement made between Champlain Cable and Stadler US Inc, Champlain Cable will now support the expanding MARTA rail network by supplying its highly innovative EXRAD-RHF low-smoke, halogen-free (LSHF) polymer technology and crosslinking capability. Champlain Cable will commence the supply in 2022 and is scheduled to conclude in 2028-2029.

The Success Journey of Champlain Cable that Was Once Under-Performing 

Champlain Cable, now a successfully running company, was once burdened with thousands of related asbestos claims and soil and underground environmental cleanup obligations along with pension underfunding liabilities worth $594,000. This transformation didn’t happen overnight.

Champlain Cable was acquired by an AIAC affiliate - CC Acquisition Corporation in June 2003 from Huber + Suhner based in Zurich, Switzerland. At the end of December 2002, Champlain Cable produced only $19.8 million as revenue and lost EBITDA of $2.2 million. Its shareholder’s equity was just $3.6 million. 

However, after being acquired by the owner of AIAC affiliate, Leonard Levie, Champlain performed significantly better as it produced revenues of $21.3 million and positive EBITDA of $1.3 million. Over the following years, Champlain grew into a company with not one but five production facilities: one in Colchester VT, two in El Paso TX, and two in the greater Houston TX area. Besides, the company now works in full compliance with all relevant environmental, pension, and other obligations.

For the year 2018, Champlain made revenues of $111.6 million and EBITDA of $14.7 million, and its Shareholder’s Equity amounted to $51.6 million. 

Now, under the leadership of Leonard Levie, Champlain Cable has been awarded a multi-million dollar Stadler Rail Car Project for supplying high-performance power and control cables for over 200 rail cars.

The subway cars equipped with Champlain’s high-performance cables and wires will operate across the entire MARTA network, serving more than 175,000 passengers on a typical weekend. This OEM approval is exemplary of how Leonard Levie transforms underperforming companies into successful ones that contribute to the national and regional economy.

Swedish Space Corporation (SSC) and Bradford ECAPS Sign MoU for Orbital Debris Removal Services

Common Earth orbits are becoming increasingly congested due to more and more space exploration missions as more space agencies deploy satellite constellations than ever before. Orbital debris are released from spacecraft or rocket bodies in common earth orbits, which poses a risk to spacecraft and satellites in Earth orbit and has a negative impact on space infrastructure and Earth. To address this issue, Swedish Space Corporation (SSC) and Bradford ECAPS came together and have signed an MoU to provide orbital debris removal services.

ECAPS, owned by Bradford Space (a company in the AIAC Group), is very excited to team up with Swedish Space Corporation (SSC) for this space cleaning mission. Starting from 2024, Bradford Space / ECAPS and SSC will provide orbital debris removal services as part of their commercial services. Bradford Space will launch a satellite bus, named ‘Square Rocket’, with significant delta-V capability into the earth orbit from the Esrange Space Center. This satellite bus will deorbit the orbital debris and junk to clear common earth orbits for spacecraft and satellites. 

The Memorandum of Understanding (MoU) was signed by SSC and Bradford Space’s ECAPS at the 2021 International Aeronautical Congress in Dubai. To accomplish this mission and provide orbital debris removal services, a new spaceport facility - Esrange Space Center in northern Sweden - is currently under construction and will be operational from 2022.

Talking about the MoU agreement for sustainable use of space, L. M. Levie, Chairman of American Industrial Acquisition Corporation (AIAC) stated,

“This has been an astonishing journey. The agreement with SSC further demonstrates the tireless dedication and brilliance of the Bradford team combined with the superiority of our technology.”

American Industrial Acquisition Corporation (AIAC) has acquired Bradford Space in 2016 and played a significant role in what the current Bradford Space began to take form. AIAC is a privately-held industrial and investment group that seeks to acquire under-performing companies and invest in manufacturing and distribution operations to build enduring and flourishing businesses. Under AIAC, Bradford Space started acquiring companies to form a ‘Bradford Workspaces’ to rebrand and reimagine the commercial space industry. Talking about the MoU with SSC, Patrick van Put, Managing Director for Bradford Space European operations said,

“Bradford Space / ECAPS is very excited to team up with SSC for this venture, which is based on exceptional complementary capabilities from both Swedish entities”

Earlier this year, Swedish Space Corporation (SSC) launched a new program to create a safer and more sustainable space environment for space exploration companies. As part of Space Situational Awareness (SSA), the program will consist of initiatives such as detection, tracking, identification, and addressing man-made space objects space junks in common earth orbits through the analysis of SSA data. The MoU between SSC and Bradford ECAPS for orbital debris removal will showcase Sweden as a leader in orbital debris mitigation for sustainable use of space.

American Industrial Acquisition Corporation (AIAC): An Investment Company Helping Underperforming Businesses

Founded in 1996, American Industrial Acquisition Corporation (AIAC) is a global industrial group that helps underperforming businesses to revitalize their operations.  AIAC is a privately held investment groupwith an investment portfolio consisting of manufacturing and distribution businesses in 24 countries across North America, Europe, and Asia. It aims to build enduring businesses through industrial investment and management by purchasing the units of large multinational public companies as well as equity and debt of privately held companies, then managing their operational turnaround so that they can survive and thrive in the long run.

AIAC and its affiliates have invested in businesses across most industrial sectors, including rail, automotive, aerospace, defense, mining, oil& gas, power generation, packaging, pharmaceuticals, and medical equipment. As a manufacturing and distribution-focused group, AIAC provides financial solutions and credibility to struggling companies with a long-term mission to build enduring and flourishing businesses.

Deal Sourcing and Criteria

·         As a global industrial group, the company acquires underperforming and non-core businesses in the manufacturing and distribution sectors across the world.

·         AIAC acquires businesses from sellers ranging from private companies to multinational corporations. 

·         The group aims to provide support and solutions to underperforming businesses struggling with financial commitment with secured and subordinated loans. 

·         AIAC works with investment bankers, corporate development professionals, independent sponsors, lawyers, accountants,  and other individuals who bring new investment opportunities.

·         AIAC review every opportunity it receives on a case-by-case basis to seek the right investment opportunities.  It responds rapidly to new situations.

·         In addition to purchasing and acquiring business units of public and private companies, AIAC also purchases the equity and debt of private companies

Global pandemic sparks high demand for paper produced at northern Manitoba mill.

 Nearly five years ago, the kraft paper mill in The Pas, Manitoba was about to be shut down. But today, it is running in high gear, making and delivering paper for packaging to customers all over the world.  Indeed, the product is in high demand during the global pandemic.

In August 2016, It’s owner, Tolko Industries, announced it was closing its kraft paper mill in The Pas, a town in Northern Manitoba with a population of 5,513. As a result of the shut down, 332 mill workers would be instantly unemployed, along with hundreds more loggers, truckers, and service industry workers that depended on the town’s largest employer. 

Leonard M. Levie, the founder and chairman of American Industrial Acquisition Corporation, led the exploration, negotiation and purchase of Tolko's paper mill after it announced its intention to shut down it in 2016.Canadian Kraft Paper Industries was born.  He stated, “This was among the most challenging acquisitions and turnaround executions we have ever attempted worldwide.  It was an excruciatingly complex, heated, multilateral negotiation with corporate, union and non-union labor, town, provincial, federal, and First Nations stakeholders, each wielding an effective veto over the salvation of the plant. It was an apt test of AIAC’s analytic and negotiating skills.”He added, “The post-acquisition turnaround management was similarly tough, involving a retooling of the management team and business plan.”Within a year of acquisition, the mill was fully turned around, producing record profits in 2018 and 2019.  Then Covid hit. 

The company’s leadership, in cooperation with the union and non-union workforce, and the town of The Pas, decided to keep the business safely running throughout the COVID-19 pandemic.  The pandemic hit the entire province of Manitoba hard.  Nevertheless, the mill rapidly instituted new, rigorous safety protocols and practices and continued to produce northern Manitoba products around the clock, seven days a week. 

Kraft paper manufactured at the Canadian Kraft Paper mill is used to manufacture bags for commodities such as sugar, flour, pet food, and cement.  It is also used for the packaging used for deliveries arriving on doorsteps around the world as online shopping has become increasingly popular, especially during the pandemic. Quarantines, social distancing and isolation also led to a rapid rise in pet ownership, which stimulated pet food sales, anda spike in the demand for pet food packaging. On top of that, a migration of plastic to paper packaging, due to environmental concerns surrounding plastic, further boosted sales of Canadian Kraft’s product.

Trees that are used to produce Kraft paper only grow in northern Manitoba. Slow-growing trees mature over a long period of time, making the tree fibers among the strongest on earth.

Fiber strength is much higher than that of the fiber produced from trees in the southern U.S. In fact, only a few places in North America and Europe produce unbleached Kraft paper like what the mill in the Pas produces.

Leonard M. Levie stated “It has often been said ‘success has many fathers, yet failure is an orphan.’ In our case, success has been the direct result of the shared vision, sacrifice, dedication and passion of the Canadian Kraft Paper Industries family, the great people of The Pas and the Northern Manitoba region, and First Nations. We are a great team.”

Who is Leonard M. Levie? What does Leonard M. Levie do?

Leonard M. Levie is the Chairman and Founder of American Industrial Acquisition Corporation (AIAC).In 1996, he established this firm to acquire underperforming and non-core manufacturing and distribution companies.

    

What does Leonard M. Levie do?

Apart from being the Chairman of AIAC and its subsidiaries, Leonard M. Levie is Chairman of the AIAC Foundation, Inc.  He has lectured at the Harvard Business School, the University of Chicago Graduate School of Business, the Turnaround Management Association, and the Association for Corporate Growth.

He has been a panelist with Hon. Fabius Laurent, the former Prime Minister of France, on Investing in France, at the Consulate General of France in New York in 2015.

In addition to other roles, he is also an active member of various councils, societies, and clubs, such as the Trilateral Commission, the Bretton Woods Committee, the Council on Foreign Relations Legacy Society, the Yale CEO Summit, the Oliver Wendell Holmes Society of Harvard Law School, the Copper Club, Chatham House, the American Red Cross Legacy Society, and many more.

Which types of underperforming businesses does Leonard M. Levie deal with?

AIAC and its affiliates hold controlling interests in companies which serve the following sectors: packaging materials, pharmaceuticals, power generation, medical devices, mining, automation, food and beverage, aviation &aerospace, defense, truck, rail, marine, pulp and paper, construction, and more.

Mr. Levie founded AIAC with the principle of acquiring underperforming companies and helping them to survive and flourish. Since the inception of AIAC, his firm has purchased and operated manufacturing units of some of the largest corporations in the world, including Boeing, Johnson Controls, Lockheed Martin, Northrop Grumman, Raytheon, Merck, Pfizer, GSK, and Siemens.

In addition to purchasing manufacturing units of large multinational public companies, his firm also buys the equity and debt of privately held companies. AIAC is a conservatively capitalized group, with permanent equity capital and no net debt.

Leonard Levie Revitalizes Failing Businesses Even in Hopeless Situations

Leonard M. Levie is the founder and chairman of American Industrial Acquisition Corporation (AIAC).  An eternal optimist, has always believed that every cloud has a silver lining, provided that you look hard enough for it.  His team at AIAC has rapidly develop and implement the key operational and financial actions to revitalize struggling manufacturing and distribution businesses.

Businesses that are on the verge of falling apart often close down because they don’t have sufficient human and financial capital to develop and execute an effective turnaround plan.  This typically results in the loss of hundreds and, sometimes, thousands of jobs for contractors and skilled and unskilled laborers, which can impact an entire community. 

Over the past quarter century, AIAC has identified, acquired, and turned around a large collection of underperforming manufacturing and acquisition companies located on four continents.

One of the most dramatic examples where Leonard M. Levie and his team at AIAC have saved a declining businesses include the case of Craft Paper Industries Ltd.: 

Tolko Industries, a multi-billion dollar revenue, privately held, timber, paper & pulp mill group based in Canada, announced the closure of its kraft paper manufacturing facility located in The Pas, Manitoba, Canada, located 835 miles northeast of Minneapolis, MN in August 2016.  As a result of the impending closure, 300 woodland contractors and 330 union employees faced immediate unemployment. Despite this crisis, which the national Canadian media declared to be a hopeless situation, Mr. Levie saw an interesting opportunity for the revival and revitalization of the business and purchased the mill just three weeks before the announced shutdown date.

Before the acquisition, the paper mill had negligible paper orders along with a fleeing customer and supplier base. But less than 1 year after its acquisition, the mill, rebranded as Canadian Kraft Paper Industries Ltd., started humming again.  Today, the mill profitably produces and exports worldwide the highest quality grades of kraft paper for a myriad of blue chip corporate clients. AIAC accomplished this by designing and implementing a bold turnaround plan which combined revenue enhancement, cost containment, massive equipment investment.

The dramatic saga of Canadian Kraft Paper Industry is hardly unique for AIAC.  This turnaround story is repeated at dozens of other AIAC companies, including Champlain Cable, Titanium Fabrication, Euro foil, Arn prior Aerospace, Super Alloy Manufacturing, Vermont Aerospace, Be Link, Malaga Aerospace, Bradford Space, Neotiss, D2A, Shiro Group, Avara Pharmaceuticals, Combiwear Parts, Consolidated Industries, Craft Machine Works, Epalia, Forte Micro, IP3 Plastics, Lenape Forged Products, MG, Umbilical International, and Union Metals. Each has a similar story to tell.  Each of these companies was universally regarded by their industry and community as hopelessly insolvent, unprofitable, and unfixable.  Each was turned around by the AIAC turnaround team. AIAC operates like a combination of a close knit family and a vigorous university debating society.  The Socratic method prevails.  Turnaround target companies’core operational and financial issues, and the appropriate turnaround action steps to address them are endlessly discussed internally before an acceptably high probability turnaround strategy is set.  All opinions are welcome and passions run high.  New information on the target company’s products, markets, customers, supplier is instantly considered, and hotly debated.  Turnaround strategies are immediately adjusted, and 180 degree pivots in strategic direction are often the result. The plan is then implemented by selected AIAC turnaround executives, based on their specific track record, geographic location, and language skills. 

No one attempting such corporate high wire acts is perfect, and enduring the unrelenting ire of disappointed stake holders is part of the job description. In such cases, stones are hurled by local press and politicians.  This is particularly true when a turnaround necessarily requires a strategic, surgical divestment or dissolution of a non-viable-subsidiary, in order to save a much larger core, parent business which supports thousands of jobs. Turnaround managers at AIAC know that designing and implementing a revitalization plan that saves the most jobs is as important as transforming losses into profits. 

 AIAC’s turnaround track record is stunning, with an enviable 25 year, global win/loss ratio rumored to be 20 to 1.  This has produced a compounded annual return on invested capital that is unadvertised and closely guarded.  AIAC has never raised capital from limited partners and has no plans to do so.  AIAC now consists of 78 manufacturing and distribution sites in 24 countries on 4 continents.

Leonard M. Levie- Chairman and Founder of American Industrial Acquisition Corporation and the AIAC Foundation Inc.

American Industrial Acquisition Corporation (AIAC) was established in 1996 by Leonard M. Levie.  The company has reached a quarter century milestone with 78 manufacturing and distribution affiliates in 19 countries, but the passion to do more still exists.

Who is Leonard M. Levie?

Leonard M. Levie is the Chairman of AIAC and each of its subsidiaries or affiliates, which Arnprior Aerospace, Avara Pharmaceutical Services, Be Link, Bradford Space, Champlain Cable, D2A, Euro foil, Forte Micro, GeCoe, Malaga Aerospace Defense Electronics Systems, Titanium Fabrication Corporation. Vermont Aerospace, and Umbillicals International, among others.  

Mr. Levie has been a guest lecturer at the Harvard Business School, the University of Chicago, Graduate School of Business, the Association for Corporate Growth, and the Turnaround Management Association.

In addition, Leonard M. Levie is the Director of the Forest Products Association of Canada, a Fellow of the Royal Geographical Society, and a Member of the Alexander Graham Bell Legacy Society of the National Geographic Society.

What Leonard M. Levie and his company do?

Simply said, the AIAC is an Industrial manufacturing-focused group. Leonard M. Levie with his AIAC team acquires manufacturing companies from the largest corporations in the world. The company works on the principle of

“Acquiring under-performing companies and helping those companies to survive and thrive.”

Some of the units that AIAC has purchased and operated are:

•    Ahlstrom
•    Astrellas
•    Boeing
•    Carlyle Group
•    Constellium
•    GlaxoSmithKline
•    Jabil Circuit
•    Johnson Controls
•    Kodak
•    Lockheed Martin
•    Merck
•    Moog
•    Northrop Grumman
•    Novelis
•    Pfizer
•    Raytheon Technologies
•    Rexel Group
•    The Riverside Company
•    Sandvik
•    Siemens
•    SSC
•    Suez Group
•    Tolko
•    Visteon

Other than these units of multinational public companies, AIAC purchases the equity and debt of privately held companies.

Under the guidance of Leonard M. Levie, the portfolio of AIAC consists of 78 manufacturing and distribution sites with over 8,500 employees in 24 countries in North America, Europe, and Asia. The company owns over 6.5 million square feet of industrial real and holds the exclusive, perpetual license to responsibly manage 22 million acres of prime Canadian Timberland, a landmass equivalent to the size of Hungary. The company’s annual revenue exceeds $1.6 billion.

Why is it beneficial to transact with AIAC?

•    Completes transactions in as short as 15 to 30 days, including due diligence and documentation
•    Utilizes an internal team to originate, analyze and execute acquisition transactions
•    Executes all standard non-disclosure agreements and conducts its due diligence quietly, without disruption to target company’s operations.
•    Offers a high probability of closing to sellers
•    Accepts most asset sale and share sale documents, with no or few changes
•    Facilitates the full transfer of all liabilities, contingent and non-contingent
•    Doesn’t require financing from external parties
•    Offers global synergies to acquired companies in areas likes sales, marketing, raw materials and equipment procurement, industrial engineering, accounting, legal, IT, HR, and insurance.

American Industrial Acquisition Corporation, under the leadership of Leonard M. Levie, helps non-core manufacturing and distribution business owners to survive and thrive in the industry.

Leonard Levie: The Master of the Turnaround

Leonard Levie started the professional journey of his life by launching a New York-based investment company, American Industrial Acquisition Corporation (AIAC) back in 1996. Since then, he and his firm have been helping businesses that others consider hopelessly unprofitable, over leveraged, or otherwise out of options. 

Who is Leonard Levie?

Leonard Levie is the Chairman and Founder of American Industrial Acquisition Corporation, the AIAC Foundation Inc., and AIAC subsidiaries & affiliates, including Arnprior Aerospace, Avara Pharmaceutical Services, BeLink Solutions, Bradford Space, Champlain Cable, Canadian Kraft Paper Industries, Combi Wear Parts, Consolidated Industries, D2A, Epalia, Eurofoil, IP3 Plastics, Lenape Forged Products, Malaga Aerospace, MG GmbH, Neotiss, Shriro Group, SuperAlloy, Titanium Fabrication, Umbillicals International, Vermont Aerospace,and numerous others.

Leonard Levie has been a guest lecturer at Harvard Business School, the University of Chicago Graduate School of Business, The Association for Corporate Growth, and the Turnaround Management Association.  Mr. Levie has lectured on Investing in France, accompanying the former Prime Minister of France, Fabius Laurent, at the Consulate General of France in New York City in 2015. 

Mr. Levie is active in the non-profit world.  He is a member of the Trilateral Commission, the Bretton Woods Committee, the Council on Foreign Relations Legacy Society, the Economic Club of New York, and the Yale CEO Summit.  He also serves as a member of the Board of Directors of the Forest Products Association of Canada.  Individually or through the AIAC Foundation, Mr. Levie donates to a wide range of educational, cultural, and medical institutions worldwide. 

Under his guidance, the portfolio of American Industrial Acquisition Corporation now consists of 78 manufacturing and distribution sites. The portfolio companies of AIAC employ more than 8,500 sprawling in 24 countries in North America, Europe, and Asia.

According to Dun & Bradstreet, the corporate family tree of AIAC now consists of 22 subsidiaries and 13 branches. With the total revenue exceeding $1.6 billion, the parent company, AIAC, also owns an expansive industrial real estate portfolio of over 6.5 million square feet and also holds the exclusive, perpetual license for sustainably harvesting and managing 22 million acres of prime Canadian timberland, an area equivalent to the size of the state of Hungary.

AIAC has purchased companies from a Who’s Who of list of blue chip multinationals, including Allegion, Astellas, AstraZeneca, Boeing, Carlyle Group, Constellium, Electrolux, Melrose Plc./GKN Aerospace, Ingersoll Rand, Jabil Circuits, Johnson Controls, Kodak, Lockheed Martin, Merck, Moog, Northrop Grumman, Novelis, NXP Semiconductors, Pfizer, Promens, Raytheon Technologies, Rexel Group, Riverside Companies, Sandvik, Senior Plc., Suez Group, Tolko, and Visteon. 

AIAC’s portfolio constitutes a diverse collection of manufacturing, distribution, and natural resource companies serving most major industrial sectors, including automation, auto, truck, rail, marine, construction, defense, distribution, energy power generation, infrastructure, mining, packaging materials, pharmaceuticals and medical devices.

AIAC’s winning investments have outnumbered its losers by 20 to 1. This enviable turnaround track record and its broad global reach have made AIAC a powerful magnet for distressed investment opportunities worldwide.  A steady stream of new acquisition opportunities are sourced by AIAC’s deal origination team, strategically located in most major international capitals.  These acquisition professionals have developed deep relationships with investment bankers, attorneys, accountants, consultants, senior strategic corporate development executives, and the economic development representatives of dozens of foreign governments.

To keep the process as stress-free and short as possible for the seller, AIAC professionals complete acquisitions with breathtaking speed, often as little as 15 to 30 days, including due diligence and documentation.