On Wednesday, April 17, ISRI will host the session “Family Businesses – Valuation, Financing and Sale” during the ISRI2024 Convention & Exposition in Las Vegas.

Featuring Hubert de la Vauvre, director of metals and advanced metals manufacturing at Brown Gibbons Lang & Company, Vincent Pappalardo, managing director at Brown Gibbons Lang & Company, and Andrew Pappas, managing director, head of ABL Metals Group at BMO Bank North America, the session will discuss how the ever-changing recycled materials industry has created new challenges for the private business owner in making major strategic decisions. Large dominating players have changed the landscape and thus changed the alternatives available.

ISRI News had the opportunity to chat with Pappalardo about the upcoming session at ISRI2024 and some of the experiences he’s planning to share with attendees.

What can attendees look forward to learning about during the session?

The goal of the session is to give recyclers a framework about how to ask the right questions regarding alternatives to their family businesses before coming up with the right solutions. There are a lot of strategic alternatives such as maintaining the status quo, passing the business to the next generation, minority sale internally or externally, or making acquisitions and becoming a consolidator.

Can you tell me about your expertise/background?

I advise companies involved in the production and distribution of ferrous and nonferrous metals and alloys as well as diversified industrials. I have over 20 years of investment banking experience advising on domestic and cross-border mergers and acquisitions, and debt and equity placements. I’ve been working on recycling deals since 2003 and been attending ISRI conventions since 2007 so I understand how recyclers think and where they’re coming from. A lot of these businesses are over 100 years, and it’s impressive to see the legacies these families have created.

What are some of the highlights you might share during the session? How do you hope the discussion impacts recyclers?

We’ll cover a variety of topics including how to value a recycling company in today’s market, how to frame the question of strategic alternatives, how to handle the process of transition, how to approach family issues, and how to finance a transition.

We’ll share some stories and we’re considering doing some role playing during the session where we talk through scenarios like if a recycler would go to their banker and ask for a dividend recap loan what the possible responses might be and what that conversation could look like.

We hope that attendees will come away with a better understanding of some of the strategic alternatives that could work well for them and their families. We also hope they’ll have some ideas about how they can think about the future of their businesses because the recycled materials industry is changing rapidly and as more possibilities arise for recyclers, we want them to be prepared.

Hannah Carvalho

Hannah Carvalho

Hannah Carvalho is the Editorial Director at ISRI. She's interested in a wide range of topics in the recycled materials industry and is always eager to learn more. She graduated from Bryn Mawr College, where she majored in History and a minored in Creative Writing. She lives in Washington, DC with her husband.