Private real estate investment fund manager AIC Ventures has purchased the 135,000 square foot industrial facility of Franklin, Massachusetts-based AR Metallizing, a portfolio company of H.I.G. Capital. AR Metallizing is a manufacturer of metalized papers.
AIC Ventures, a private real estate investment fund manager, has purchased the 135,000 square foot industrial facility of Franklin, Massachusetts-based AR Metallizing, Ltd., a portfolio company of H.I.G. Capital. AR Metallizing is one of the industry’s leading manufacturers of metalized papers. AIC Ventures closed the acquisition and simultaneously entered into a long-term lease of the facility with the company.
“There is a reoccurring theme of private equity firms utilizing sale leaseback financing to help complete their M&A transactions. Traditional valuation approaches often fail to fully value the real estate assets of a target company. In order to present the best offer in today’s competitive auction process, many private equity funds have turned to monetizing the real estate assets through sale leasebacks to improve their bids while strengthening their returns. AIC Ventures is pleased to have completed another sale leaseback transaction with an H.I.G. portfolio company. AIC prides itself on the relationships and confidence that these funds place in our capabilities and our people.” stated Luis F. Medina, Managing Director of Acquisitions at AIC.
John Von Bargen, Principal of H.I.G., stated: “Our firm’s portfolio companies have obtained sale leaseback capital from AIC Ventures on multiple occasions in the past. Though we had other sale leaseback providers as options for this transaction, given AIC’s track record with us and their commitment to the terms, we decided to put our trust in them again. AIC performed as expected, closing on time and never wavering from the original terms to which the parties agreed.”
About AIC Ventures
AIC Ventures is a leading provider of alternative capital to middle-market companies via real estate sale leaseback transactions. With over $1 billion in completed transactions, AIC Ventures structures innovative corporate finance solutions for companies that need to strengthen their balance sheets, fund growth initiatives including acquisitions, fund succession planning and/or support other strategic initiatives. The company has closed 134 transactions in 29 states.
About H.I.G. Capital
H.I.G. is a leading global private equity investment firm with more than $10 billion of equity capital under management. Based in Miami, and with offices in Atlanta, Boston, Chicago, Dallas, New York, and San Francisco in the U.S., as well as international affiliate offices in London, Hamburg, Madrid, Paris, and Rio de Janeiro, H.I.G. specializes in providing capital to small and medium-sized companies with attractive growth potential. H.I.G. invests in management-led buyouts and recapitalizations of profitable and well managed manufacturing or service businesses. H.I.G. also has extensive experience with financial restructurings and operational turnarounds. Since its founding in 1993, H.I.G. invested in and managed more than 200 companies worldwide. The firm’s current portfolio includes more than 80 companies.