A. Schulman acquires thermoplastics manufacturer Perrite Group

By Frank Esposito
Senior Staff Reporter

Published: September 3, 2013 8:41 am ET
Updated: September 4, 2013 1:17 pm ET

Related to this story

Topics Materials, Mergers & Acquisitions, Materials Suppliers
Companies & Associations A. Schulman Inc.

Materials firm A. Schulman Inc. has acquired British compounder and resin distributor Perrite Group for about $52 million.

Perrite is based in Cheshire, England, and employs 220 at plants in the United Kingdom, France and Malaysia. The firm has annual sales of $140 million and makes flame-retardant, impact-modified, anti-microbial, color and other types of compounds based on a variety of commodity and engineering resins. It also distributes resin for Sabic and other suppliers.

Perrite sells into numerous markets. Including electrical, automotive and industrial. In a Sept. 3 news release, Schulman Chairman, President and CEO Joseph Gingo said that the acquisition "will allow [Schulman] to strengthen our European niche Engineered Plastics business." The deal also will move Schulman into "adjacent markets," he said, such as insulation materials for the sub-sea flexible oil pipe market.

It's the second acquisition this year for Fairlawn, Ohio-based Schulman and its eighth overall in the last four years. Earlier this year, the firm bought compounder/distributor Network Polymers Inc. of Akron, Ohio, for about $50 million. Gingo said in the release that Schulman "will remain aggressive" in pursuing other acquisitions.

Schulman also earlier this year offered almost $600 million to buy specialty chemicals maker and compounder Ferro Corp. of Mayfield Heights, Ohio, but their offer was rebuffed by Ferro management.

In the first nine months of its 2013 fiscal year, Schulman's sales were up about two percent to almost $1.6 billion. But the firm's profit fell almost 28 percent to less than $30 million when compared to the same period in fiscal 2012. Schulman generates most of its sales from Europe, where economic recovery has lagged.

On Wall Street, Schulman's per-share stock price was just above $28 in early trading Sept. 4. That price is almost 3 percent lower than its Jan. 1 level.


Comments

A. Schulman acquires thermoplastics manufacturer Perrite Group

By Frank Esposito
Senior Staff Reporter

Published: September 3, 2013 8:41 am ET
Updated: September 4, 2013 1:17 pm ET

Post Your Comments


Back to story


More stories

Image

DuPont investing $100 million for more ethylene copolymer capacity

September 16, 2014 1:51 pm ET

Increased packaging demand is leading materials giant DuPont Co. to spend more than $100 million to increase capacity for ethylene copolymers at its...    More

Image

Latvian plastics recycler Nordic Plast boosts capacity

September 16, 2014 10:15 am ET

Latvian plastics waste recycler Nordic Plast Ltd. has invested more than 2.5 million euros ($3.2 million) to expand capacity and modernize production ...    More

Image

ZF finalizes deal to buy TRW, creating another global auto supply giant

September 15, 2014 1:09 pm ET

TRW Automotive Holdings, in a supply chain megadeal that has been in the works since mid-July, said Sept. 15 it has agreed to be acquired by German...    More

Image

Sabic, Chinese Academy of Sciences sign five-year development agreement

September 15, 2014 11:54 am ET

Ties between one of the world's biggest oil producers and one of its biggest consumers grew tighter Sept. 12 with the announcement of a five-year...    More

Image

BASF analyzes products based on sustainability potential

September 15, 2014 11:48 am ET

Chemicals giant BASF SE has created a new process for managing its product portfolio based on sustainability criteria.    More

Market Reports

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

Learn more

Thermoformed Packaging 2014 Market Review & Outlook North America

This in-depth report analyzes economic and market trends, legislative/regulatory activity impacting supply and demand, business opportunities and threats, materials pricing, manufacturing technology, as well as growth strategies being implemented by thermoformed packaging companies.

Learn more

Pipe, Profile & Tubing Extrusion in North America 2014

U.S. demand for extruded plastics is expected to grow by 3 percent in 2014, with PVC remaining the largest segment.

Plastic pipe will post the strongest gains through 2018, continuing to take market share from competing materials in a range of markets.

Our latest market report provides in-depth analysis of current trends and their financial impact on the pipe, profile and tubing extrusion industry in North America.

Learn more

Upcoming Plastics News Events

January 14, 2015 - January 14, 2015Plastics in Automotive

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

More Events