Heartwood Partners announced the closing of its first continuation vehicle for The Amlon Group, securing about $245 million in commitments. The transaction closed on May 15, 2025. It included significant participation from the General Partner, as well as commitments from Apogem Capital, New 2ND Capital, Reinsurance Group of America, Mercer Investments, Round2 Investment Partners, Flexstone Partners, and various syndicate investors.
Heartwood first invested in Amlon in 2021. Since then, Amlon has completed five add-on acquisitions and pursued multiple organic growth initiatives that expanded processing capacity and broadened its industrial waste management capabilities. The continuation vehicle extends Heartwood’s investment timeline while providing existing investors with liquidity at a valuation the firm describes as attractive.
The new capital commitments are also intended to support a pipeline of strategic acquisitions, greenfield expansions and further organic growth opportunities. Amlon plans to continue scaling its waste-to-value processing operations, supported by Heartwood’s ongoing involvement.
Heartwood Partners, founded in 1982, manages over $1.3 billion in investments and commitments as of December 31, 2024. The private equity firm focuses on lower-middle-market businesses in sectors such as niche manufacturing, specialty chemicals, food, agriculture, packaging and industrial and consumer services. It is currently investing from its Heartwood Partners IV fund.
The Amlon Group, headquartered in Plano, Texas, specializes in sustainability-focused waste solutions, including waste-to-value processing and the recycling of industrial and hazardous waste streams. The company emphasizes environmental remediation and resource recovery across its operations.
Deal support: Transaction advisors included Harris Williams as lead financial advisor, Brown Gibbons Lang & Company as co-advisor and DLA Piper as legal counsel to Heartwood Partners and The Amlon Group.
KEY QUOTES:
“Amlon has delivered exceptional results since our initial investment, and we see a clear path to significantly scale the business over the next several years. We are excited to continue our partnership with Amlon and appreciate the confidence and backing from our investors. Through this continuation vehicle, we can lengthen our investment timeline, further advance management’s strategic initiatives, and provide our investors with liquidity at an attractive valuation.”
Demetrios Dounis, Managing Partner at Heartwood Partners
“Heartwood’s ongoing support and strategic guidance have been instrumental to our success. With this new capital structure, we can accelerate our M&A program and continue investing in the people, technology, and processes that differentiate us in the market.”
Mark Wayne, Chief Executive Officer of The Amlon Group
