Leahy-IFP, a family-owned aseptic beverage manufacturer based in Glenview, IL, supplies juice and juice-related beverages to foodservice providers, consumer packaged goods companies, and restaurant clients, including Starbucks, Dunkin’, and McDonald’s. Founded in 1957 as a sales and marketing firm, the Company expanded its commercial reach to include consumer packaged goods (CPG) and restaurant clients. In 2019, Leahy acquired Continuum Packaging Solutions (CPS) and overnight became a manufacturer, leading to several challenges.

Seeking to internalize production, the Company invested ~$78 million to build out its second manufacturing plant, NLX Packaging Solutions (NLX), which became operational in 2024. The expansion failed to deliver, resulting in an inflated overhead cost base, operational inefficiencies, and an overly complex operating structure. Liquidity pressures intensified in the fourth quarter of 2024 after demand from Starbucks plummeted about 40%, compounding the burden of debt and financing obligations incurred during the NLX build out.

Despite profit improvement initiatives, projected 2025 EBITDA remained insufficient to cover debt service, prompting the sale of the Company.

Novo Advisors was appointed Interim Chief Financial Officer to reestablish consistent financial reporting, support liquidity and profitability initiatives, and facilitate a sale. Novo entered an environment of acute liquidity constraints, strained lender confidence, and limited financing visibly amid declining customer demand and operational inefficiencies. Recognizing the immediate need to establish trust and extend liquidity and responsible for ensuring consistent and quality financial reporting across all stakeholders, Novo rapidly developed a full suite of financial reporting tools, including a dynamic 3-statement and 13-week cash flow model.

By aligning lenders, investment bankers, sponsors, management, and buyers around a shared transaction framework, Novo Advisors was able to effectively navigate a complex environment while maintaining credibility across multiple constituencies, eventually paving the way for long-term operational viability beyond short-term recovery.