Transilwrap Company, Inc.
Transilwrap is the largest converter and distributor of synthetic films in North America. The company operates 11 facilities throughout the U.S. and Canada that perform a variety of value-added processing operations including extrusion and other surface coating, magnetic striping, security and specialty printing, finished assembly, slitting, sheeting, tipping, die cutting and re-rolling.
Transilwrap is the largest converter and distributor of synthetic films in North America. The company operates 11 facilities throughout the U.S. and Canada that perform a variety of value-added processing operations including extrusion and other surface coating, magnetic striping, security and specialty printing, finished assembly, slitting, sheeting, tipping, die cutting and re-rolling. The company is also the second largest manufacturer of thermal laminating film in North America and manufactures its own line of printable synthetic alloys. For over 75 years, Transilwrap has fulfilled a vital role in the supply chain for large manufacturers of PET, OPP, nylon, vinyl, styrene and other synthetic films. The company’s industry-leading sales force provides consultative sales service and support to a diverse customer base across a wide range of applications. End markets that utilize the Company’s synthetic films include security, ID and loyalty card system integrators, a variety of commercial printing and finishing applications such as book publishing, trade, POP, and digital across all major print technologies, food and specialty packaging, niche medical products, and industrial applications.
Nicolet Capital was approached by an investment banking firm on behalf of nine management shareholders that had previously acquired the company from second generation family ownership. This diverse team had various individual objectives and it was likely that many of them would transition out of the business over the investment period. As a group, they were seeking partial liquidity for their equity investment and a majority investment partner to develop a strategic plan that would create future equity value.
Select Value Creation Initiatives
- Worked with our management equity partners to develop a comprehensive management transition plan.
- Recruited a new CEO, CFO, VP Operations and several divisional GM’s while maintaining a positive relationship with prior key management who retained an equity interest in the company.
- Created a new VP Procurement position realizing significant annual material cost savings.
- Reorganized and added specialized expertise to sales, customer service, market development and R&D functions/strategies to drive growth.
- Upgraded reporting tools/incentive plans to increase accountability.
- Developed integration plans and provided execution support for two add-on acquisitions resulting in substantial cost synergies.
- Weathered financial crisis through Nicolet Capital’s coordinated equity and junior debt approach and by implementing permanent cost and working capital improvements.
By 2013, Transilwrap had an improved growth trajectory, more robust infrastructure and more dynamic management. After a near doubling of EBITDA over the investment period, Nicolet Capital determined that Transilwrap had sufficiently executed on its strategic plans and reached a level of scale to capitalize on the strong interest in the company. Transilwrap was sold to a financial buyer in late 2013 resulting in a full realization of Nicolet Capital’s investment.
“Nicolet greatly contributed to Transilwrap’s transformation by partnering and collaborating with management. The foundation of our success was Nicolet’s willingness to engage and understand the business at a level that drove a clear understanding of the company’s core needs and opportunities. This allowed Transilwrap and Nicolet to quickly align business strategies, personnel needs and business processes to affect the necessary changes to drive growth. This alignment and Nicolet’s support was particularly helpful as Transilwrap executed its acquisition strategy and brought new talent into the organization.”
-Andy Brewer, President & CEO of Transilwrap