NEXE Innovations buys Windsor plant for bio-degradable coffee pod production

Dave Waddell/The Windsor Star

NEXE Innovations has announced the purchase of the former JD Norman Industries plant in Windsor with plans to converting a facility that once produced auto parts into one that manufacturers bio-degradable coffee pods.

The Vancouver-based company purchased the 54,000-square-foot plant on Hawthorne Drive for $4.35 million.

“Acquiring a facility in Windsor enables NEXE to more easily access the talent needed to drive the Company’s production and product innovation initiatives,” said NEXE president Ash Guglani in a statement.

“Windsor is known for its expertise in manufacturing, automation and injection moulding. Built on manufacturing but driven by innovation, Windsor-Essex boasts the largest cluster of both tool, mould and automation companies in North America.”

With Canada transitioning to a greener economy, Guglani said the Windsor location would allow the company to move much faster from a scaling and product innovation perspective.

The number of employees and start-up date for the Windsor plant hasn’t been released.

NEXE ( was founded in 2015 and designed the world’s first patented compostable single-serve coffee pod designed to replace plastic K-cups. The plant-based pods can be used in both Keurig and Nespresso machines and will break down in municipal composting facilities in as little as 35 days.

The company also uses only ethically sourced coffee producers in Peru.

NEXE has a 20,000-square-foot plant in Vancouver that will continue to produce both K-cup, Nespresso products and other products.

However, Guglani said NEXE will also do most of its product innovation in Windsor.

The company does everything in-house, including having its own injection moulding machines, reducing exposure to supply-chain issues. That vertical integration is also a key reason for needing access to the area’s skilled workforce. Guglani added the city’s border location made it a natural choice for its expansion plans as well as many of the company’s automation partners are based in Ontario. NEXE plans to use the Windsor plant to expand into the American and European markets.

“Windsor-Essex is home to the busiest commercial border crossing accounting for more than one-third of all Canada-U.S. trade,” Guglani said.

“Having this facility in Windsor enables us to acquire the talent that we need for continued innovation, increases production capabilities and shortens our access to Europe and the US Eastern seaboard.

“We believe this initiative will enable NEXE to become a worldwide leader in sustainable consumer packaged goods alternatives to plastic.”

Currently there are nearly 60 billion plastic coffee pods being used annually with 90 per cent of the market being in the U.S.

In addition to coffee, NEXE also produces XOMA Superfoods in the pods. Those pods are also compatible with the Keurig system.

Superfoods are mostly plant-based but can also include fish and dairy products and are loaded with nutrients.

NEXE products are available online at NEXE’s website, Amazon and .

“They’ll be a welcome addition to the diversification of the local economy,” said Invest WindsorEssex CEO Stephen MacKenzie.

“They’re a wonderful, successful company on their own and they’ll be reaching out to partner with existing companies in the region. We’re seeing increasingly our automation, mould and tool and die making companies partnering with different sectors than automotive.”

The company plans to not only market its own products, but to partner with other brands interested in moving to plant-based pods and packaging materials.

Guglani expects to see an expansion of opportunities for the company as more entrants entertain entering the coffee market now that the waste-disposal issues surrounding K-cups have been resolved.