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

Experts explain why resin sales are down in a healthy US economy

February 27, 2015 1:58 pm ET

The economies of the U.S. and Canada posted solid growth in 2014 — even though resin demand in those countries lagged behind.    More

Image

Industry vet Dwight Morgan joins M. Holland

February 27, 2015 1:55 pm ET

Resin distribution leader M. Holland Co. has hired industry veteran Dwight Morgan as its vice president of corporate development.    More

Image

Indian masterbatch makers growing locally and thinking globally

February 27, 2015 1:30 pm ET

GANDHINAGAR, INDIA — India’s masterbatch makers are expanding their domestic capacity to meet growing demand, as some are also moving...    More

Image

Polypropylene prices rise, while PE and PS fall

February 26, 2015 4:01 pm ET

North American prices for polyethylene and polystyrene resins continued to fall in February, while regional prices for polypropylene showed a...    More

Image

Price and sustainability both key to success for carpet recycler

February 26, 2015 1:28 pm ET

DALLAS — A green message will get you in the door, but ultimately that sustainability message has to be backed up with quality at the right pric...    More

Market Reports

Flexible Packaging Trends in North America

North America represents about 30 percent of the global consumption of flexible packaging. Annual growth in this region is forecast at 4 percent during the next 5 years.

For more insight on growth opportunities, drivers of growth and the outlook for 2015, download this report.

Learn more

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Plastics in Mexico - State of the Industry Report

This report analyzes the $20 billion plastics industry in Mexico including sales of machinery & equipment, resins and finished products.

Our analysts provide insight on business trends, foreign investment, top end markets and plastics processing activity. The report also provides important data on exports, production, employment and value of plastics products manufactured.

Learn more

Upcoming Plastics News Events

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

More Events