Worcester Business Journal

4 Worcester Business Journal | August 24, 2026 | wbjournal.com Aspen Aerogels' explosion cost $14.2M Northborough-based manufactur- er Aspen Aerogels said the April 8 explosion at its East Providence facility led to $8.9 million in damages and $5.3 million in other costs related to the incident. e fire caused by an accumulation of ethanol vapors in one of Aspen's drying ovens injured 11 employees, but none seriously, according to the company. Aspen began a gradual reopening of the site in May, expected to be completed in the first half of 2027. e company expects to recover $8.9 million in insurance payments during the third quarter, offsetting the costs of damages, according to an announce- ment regarding its second quarter earnings. e $5.3 million in other incident-re- lated costs are tied to expedited freight and professional fees. Aspen plans to submit claims under its business inter- ruption insurance to cover those costs. Don Young, president and CEO of Aspen, said in a earnings call the com- pany had avoided significant supply disruption to customers from the month-long closure of the facility. Aspen had a second quarter net loss of $23.3 million, compared to $9.1 million in the second quarter last year. Total revenue for Aspen in the second quarter was $49.8 million, down 44.1% compared to $78.0 million in the sec- ond quarter of 2025. Most of that decline was related to a decrease in the company's ther- mal barrier division, which produces insulation and fire resistance products for lithium-ion battery packs. e firm's thermal barrier business was $29.5 mil- lion, down from $55.2 million last year. Aspen said changes in electric vehicle regulatory frameworks and incentive programs led to the decrease. Even with EV-related headwinds, Aspen secured an award with Jaguar Land Rover to produce thermal barriers for its brand of next-generation electric vehicles, with production expected to start in 2027. e company continues to look to sell manufacturing assets at its Statesboro, Georgia facility. Aspen announced the new facility in 2022 but canceled its buildout in February 2025, deciding instead to lean on existing manufactur- ing infrastructure in the wake of federal cuts to electric vehicle incentives. e company previously announced it has reached a non-binding letter of intent with a buyer for that site, but dis- closed the potential sale expired without a definitive agreement. Despite setbacks, Young said in the announcement he is hopeful the com- pany can return to profitable growth in 2027. Young cited accelerating activity in the company's energy industrial project division, stabilization of North American demand for thermal barriers, and increased thermal barrier activity in Europe. Hopkinton's Isto Biologics acquires Florida bonehealing firm for $60M Aer being sold from one private equity firm to another in September, Hopkinton-based Isto Biologics has acquired a fellow biotech firm focused on bonehealing. Isto purchased NovaBone Products, a Florida-based company focused on developing and manufacturing synthet- ic bone gras, from British firm Halma for $60 million. e purchase allows Isto to provide surgeons with a broad- er range of bone gra substitutes, Isto announced Aug. 6. Isto's portfolio of products includes therapies and synthetic bone gras. ese products are utilized in more than 15,000 surgical procedures a month in the United States, according to the firm. France-based private equity firm Keensight Capital purchased a ma- jority stake in Isto in September from Missouri-based ompson Street Capital Partners. Isto's purchase was its first acquisition since Keensight's investment. Keensight acquired Isto as part of its strategy to invest in growing companies generating revenues in the range of $11.5 million to $461.4 million. Halma said Isto was profitable and growing but would be best served under ownership directly tailored to its market and investment needs. NovaBone was founded in 2022 and develops advanced biomaterials for bone and so-tissue regeneration. Don Young, president and CEO of Aspen Aerogels Worcester Business Journal (ISSN#1063-6595) is published bi- weekly, 24x per year, including 4 special issues in May, September, October, and December by New England Business Media, 446 Main St, Suite 201, Worcester, MA 01608. Periodicals postage paid at Worcester, MA. Copyright 2026. All rights reserved. Postmaster: Please send address changes to: Worcester Business Journal, 446 Main St, Suite 201, Worcester, MA 01608. Subscriptions: Annual subscriptions are available for $100.00. For more information, please email circulation@nebusinessmedia.com or contact our circulation department at 508-755-8004 x242. Advertising: For advertising information, please call Kris Prosser at 508-755-8004 ext. 286. Worcester Business Journal accepts no responsibility for unsolicited manuscripts or materials and in general does not return them to the sender. Worcester Business Journal 446 Main St, Suite 201, Worcester, MA 01608 508-755-8004 tel. • www.wbjournal.com Worcester Business Journal WBJ A division of: Editor, Brad Kane, bkane@wbjournal.com Managing Editor, Eric Casey, ecasey@wbjournal.com (real estate, banking & finance) Contributors Sloane M. Perron, Sara Bedigian, Emily Micucci, Livia Gershon, Monica Benevides Photographers Matt Wright, Edd Cote, Christine Peterson Research Director Stephanie Meagher, smeagher@nebusinessmedia.com Research Assistant, Heide Martin, hmartin@nebusinessmedia.com Production Director, Kira Beaudoin, kbeaudoin@wbjournal.com General Manager Kris Prosser, kprosser@wbjournal.com Senior Accounts Manager Christine Juetten, cjuetten@wbjournal.com Account Executive Jeff Swerdlick, jswerdlick@wbjournal.com Special Product Manager Regina Stillings rstillings@nebusinessmedia.com Director of Finance, Sara Ward, sward@nebusinessmedia.com Accounting Clerk, Rae Rogers, rrogers@nebusinessmedia.com Event Coordinator Patty Harris, pattyh@wbjournal.com Director of Audience Development and Operations, Leah Allen, lallen@nebusinessmedia.com Business Office Assistant Nicole Dunn, ndunn@nebusinessmedia.com Publisher and CEO, Tom Curtin tcurtin@hartfordbusinessjournal.com Chief Operating Officer Andrea Tetzlaff, atetzlaff@mainebiz.biz Publisher Emeritus, Peter Stanton pstanton@nebusinessmedia.com 2,300+ Central Massachusetts apartments now under the control of the largest owner of apartments in the country, Vivmark Residential, following the $51-billion merger of Virginia-based AvalonBay Communities and Chicago-based Equity Residential Source: Vivmark Residential $4 million MassDevelopment loan to Westborough-based Elite Home Builders to construct a 46-unit apartment complex on two acres on Grant Road in Devens Source: MassDevelopment 22 acres Lot size of large industrial building near Fitchburg Municipal Airport planned by Boston-based development firm GFI Partners Source: Worcester North District Registry of Deeds New executives at Beverly-based Rucker Investments, which has a substantial Worcester-based portfolio, with Matt Barr as chief revenue officer, Jennifer Barys as CFO, and Joseph Morales as senior vice president and general counsel Source: Rucker Investments Three W

• Cover