Mar 25, 2009. /Lesprom Network/. New Leaf Paper announced the completion of a $5 million private equity investment round led by Pacific Community Ventures, LLC ("PCV") a private equity firm focused on small, high-growth California businesses. The new funding will be used to build out New Leaf Paper's retail paper product line, continue its development of better and more environmentally responsible papers and ultimately support its mission of inspiring a fundamental shift toward sustainability in the paper industry, as the company informed Lesprom Network. For the first 10 years of New Leaf Paper's history, the company grew organically, generating $30 million in sales as of last year. "We chose the self-funded path because we wanted to control the mission and values behind New Leaf Paper and we wanted to prove the business model prior to outside financing," said Jeff Mendelsohn, CEO of New Leaf Paper. "Our track record shows that a double bottom line approach in the paper industry can be successful and we are pleased to have PCV as a capital partner that champions these same values. This equity investment will spur our growth plans of achieving more than $100 million in sales." PCV is a double bottom line private equity firm focused on helping small, high-growth California businesses execute their growth plans through capital infusions and an expertise in consumer brand awareness. Founder and President Penelope Douglas cites New Leaf Paper's double bottom line alignment, market innovation, brand awareness and blend of wholesale stability and retail upside potential as factors leading to the firm's decision to invest in the company. "New Leaf Paper's commitment to creating win-win scenarios for its investors, its customers and clients, and the environment spoke to our investment criteria on every level," said Douglas. "We are looking forward to working with New Leaf Paper to build on its already solid DNA and help it revolutionize its category, if not the industry." "In a tough economy, it is a testament to our unique value proposition and pioneer status that PCV has taken a significant stake in our growth and the next chapter of our history," said Mendelsohn. "We are well on our way to reaching our target in this first and only round to date." PCV invested $3 million and was joined by Plainfield Asset Management, an investment advisor and owner of paper manufacturer Smart Paper, and Partnership Capital Growth, a full-service, boutique investment bank that focuses exclusively on the healthy, active and sustainable living marketplace, served as the exclusive financial advisor for the transaction, which closed in the 1Q 2009. New Leaf Paper manufactures and distributes office and printing papers made from post-consumer recycled fiber sources. The company's products include coated grades, stationery paper, offset paper, publication grades, opaque paper and copy paper.