Blackthorne Partners Ltd., a private equity firm, has acquired the assets of JPRS New Way, a Milwaukee-based pallet recycler based in Lannon, WI. An investor group led by Blackthorne has begun operations under the name Pallet USA, LLC. The purchase, which closed May 12, includes all operating and real estate assets of the business, including a turnkey pallet recycling and reconditioning facility that has been operating for more than 25 years.
In the highly fragmented wood pallet industry, Blackthorne and the investor group plan to increase both sales and profits at Pallet USA, LLC through an organic growth and acquisition strategy.
“With the economy turning a corner, more goods are being shipped and demand for pallets is increasing,” said John Syburg, founder and president of Blackthorne Partners. “We’ll be making a series of investments in Pallet USA, LLC aimed at capturing these growth opportunities and building a competitive edge.”
Blackthorne’s planned investments include:
• Additional working capital to help manage inventory levels to better serve its customer base;
• An aggressive sales and marketing effort; and
• New financial and operating systems and controls to increase profitability.
Pallet USA, LLC is a buyer and supplier of used wooden pallets serving a wide range of customers throughout southeastern Wisconsin. The new owners plan to expand the company’s reach into Madison, Green Bay and other areas.