Schulman buys plastics company, sells facility [The Akron Beacon Journal]By Katie Byard, The Akron Beacon JournalMcClatchy-Tribune Information Services
Aug. 21--Fairlawn plastics compounder and resin maker A. Schulman Inc. said Monday it has signed an agreement to acquire privately owned ECM Plastics Inc., a plastics compounder in Worcester, Mass., for $36.5 million.
ECM, which has a single plant in Worcester and about 140 employees, generates about $40 million in annual sales.
The deal is expected to close in early September.
Schulman also said Monday that it is selling its vinyl chloride compounding facility in Bellevue, southeast of Fremont, to Mitsubishi Chemical Performance Polymers Inc., a subsidiary of Mitsubishi Chemical Corp.
Terms of the sale were not disclosed. Schulman said it would not incur any significant gain or loss on the sale of the facility, which employs about 80 workers.
The purchase of ECM and sale of the Bellevue plant are part of Schulman's efforts to refocus on selling lower volume, higher profit resins and compounds rather than high-volume but low-profit commodity products. Chairman, President and Chief Executive Joseph M. Gingo noted in a prepared statement that ECM has "expertise in custom color matching, higher-value compounding and specialty additive formulations" that makes it "an excellent strategic fit."
Schulman spokeswoman Jennifer Beeman said Monday that ECM specializes in supplying color concentrates and color compounds to makers of cosmetic product packaging as well as personal care items, such as toothbrushes and razors.
Schulman shares closed at $24.19, up 28 cents, on Monday.
Katie Byard can be reached at 330-996-3781 or firstname.lastname@example.org.
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