EVANSVILLE, IN - Fiberfil Engineered Plastics and DSM Engineering Plastics-Americas have reached a definitive agreement allowing Fiberfil Engineered Plastics to acquire the North American custom compounding polypropylene business of DSM and its manufacturing site in Stoney Creek, ON, Canada, as of December 7, 2005. The DSM manufacturing site, dedicated to polypropylene compound production, began operating under the new company name Fiberfil Engineered Plastics December 7, and will continue producing the same product with a new Fiberfil trademark.
“The sale of its polypropylene compound business is another step in DSM Engineering Plastics’ global strategy to focus on core thermoplastic resins, specifically nylon 6, nylon 46, copolyester elastomers, and specialized polyamide nylon 66 compounds,” said Auke Rottier, president of DSM Engineering Plastics (Americas). “We are excited about recent successes obtained with this strategy and the growing demand for our core resins. Backed with domestic nylon 6 polymerization capacity in Augusta, GA, we are preparing additional capacity for our Evansville compounding operations to meet the increased demand for DSM products in the automotive industry.”
DSM Engineering Plastics has recently made significant investments in polymerization and compounding capacity in America, the Netherlands, India, and China. New material modifications like Stanyl High Flow, Akulon Ultraflow, Akulon XP, and Arnite XL are designed to improve productivity, part performance, and quality. In addition, DSM recently announced Vision 2010, a new strategy to accelerate growth, innovation, and portfolio quality. DSM’s Vision 2010 strategy will build on the foundation of the former Vision 2005 program through which DSM shifted its portfolio to specialty life science and performance material products.
Concerning the Stoney Creek divestment, Rottier commented, “Our current polypropylene customers will be best served because this sale places the business in the hands of a corporation that is dedicated to its development and growth.”
Fiberfil Engineered Plastics’s acquisition of DSM’s polypropylene business will continue the 53-year legacy of the Fiberfil product line under the Fiberfil trademark. Formerly known as Wilson - Fiberfil, the company was a pioneer in the growth of Engineered Thermoplastics throughout North America.
“The prospect of enhancing Fiberfil products in the market is a tremendous opportunity,” said John Wilkie, president and chief executive officer of Fiberfil. “The history of Fiberfil has always been providing solutions through creative custom compounds. We intend to resurrect the celebrated history of this world-renowned trademark.”
Fiberfil Engineered Plastics, engaged in the production of multiple resin-grade reinforcing, coloring, and additive enhancing, will focus on development and growth of new and existing compounded polypropylene.
