#United States #Detroit #LO3 Capital #Royal Oak Recycling #Tamarix Equity

LO3 Capital's Investment in Royal Oak Recycling

On October 14, 2025, LO3 Capital announced a significant investment in Royal Oak Recycling (ROR), aimed at reinforcing the company's capabilities in sustainable recycling. This investment, which consists of both senior debt and preferred equity, is part of a strategic partnership alongside Tamarix Equity Partners, known for their collaboration with family and founder-owned businesses across North America.

Royal Oak Recycling: A Leader in the Recycling Industry

Founded in 1992 and headquartered in Metro Detroit, Michigan, Royal Oak Recycling has grown into a multi-regional platform specializing in the handling, processing, and offloading of high-grade paper, plastic, and metal. Today, ROR operates nine facilities across 22 states and recycles over half a million tons of material annually, solidifying its reputation among national retailers, manufacturers, printers, and other commercial clients.

With a strong foundation built on professionalism and reliability, ROR is positioned as a leader in the commercial recycling sector. The company’s commitment to providing innovative recycling solutions has allowed it to stand out in a competitive market, making this partnership with LO3 Capital timely and strategic.

Supporting Growth and Sustainability Initiatives

The infusion of capital from LO3 Capital is set to support Royal Oak Recycling's ongoing growth initiatives, enabling the company to expand its market share and further enhance its operational capabilities. Mark Hauser, Managing Partner at Tamarix, expressed enthusiasm about the partnership, stating, "Royal Oak Recycling has built a differentiated platform within the commercial recycling industry, providing customers with unique solutions through its large footprint and diverse capabilities. We look forward to partnering with the Mamou family and ROR's management team to help expand the company's market share."

Glenn Harrison, Managing Partner and Co-Founder of LO3 Capital, echoed this sentiment. He emphasized the potential of Royal Oak Recycling to enter its next growth phase owing to its experienced management team, robust infrastructure, and alignment with sustainability goals.

LO3 Capital's Commitment to Lower-Middle Market Companies

This investment marks the thirteenth since LO3 Capital's inception in September 2022 and represents the firm's second collaboration with Tamarix Equity Partners. LO3 Capital is committed to creating long-term value by partnering with management teams and private equity sponsors to fund organic growth, acquisitions, recapitalizations, and ownership transitions across a variety of industries.

With offices in Nashville, New York, and Dallas, LO3 Capital focuses on lower-middle market companies generating over $3 million in EBITDA. The firm aims to lend transformative capital, underscoring its strategy to drive growth in companies that are strategically aligned with its vision for sustainability and operational excellence.

In conclusion, the partnership between LO3 Capital and Royal Oak Recycling serves not only as a milestone in business growth but also as an important step towards enhancing sustainable recycling practices within the industry. The collaboration aims to leverage Royal Oak Recycling's strengths and propel it towards a future of increased efficiency and environmental responsibility.