Trellis Earth Products buying Cereplast assets

By Frank Esposito
Senior Staff Reporter

Published: June 23, 2014 10:40 am ET
Updated: June 23, 2014 4:01 pm ET

Image By: Trellis Earth Products Trellis Earth Products introduced a new clamshell design made with the company's bioplastic this month.

Related to this story

Topics Materials, Mergers & Acquisitions, Sustainability, Materials Suppliers

Bioplastics products maker Trellis Earth Products Inc. has acquired the assets of bankrupt bioplastic materials firm Cereplast Inc. for $2.6 million.

The deal includes a 105,000-square-foot production plant in Seymour, Ind., as well as production equipment, patents, inventory and trademarks. Wilsonville, Ore.-based Trellis also will pay some costs related to Cereplast’s Chapter 7 liquidation proceedings.

“We have long wanted to mark our products as ‘Made in the U.S.A.,” Trellis CEO Mike Senzaki said in a June 20 news release. “The acquisition of this factory will enable us to quickly become the pre-eminent American supplier of bioplastic food service compostables.”

Trellis was formed in 2007 and provides bio-based cutlery, food containers and shopping bags to more than 500 customers, including the Kroger’s, Wegman’s and Trader Joe’s grocery store chains. The firm expects to post annual sales of $8.5 million in 2015.

In July 2013, Trellis relocated production from China to a former Eastman Kodak plant in Gates, N.Y. Officials said the move was made because of rising costs in China.

Cereplast had long been a visible proponent of the bioplastics market, but the firm struggled to find commercial success. It filed for bankruptcy in February after reporting a loss of $34 million for the first nine months of 2013. Cereplast’s annual sales were around $1 million.

Cereplast was founded in California and operated there for several years before relocating to Seymour in 2013. The firm’s products include bioplastics based on vegetable matter, as well as a new product based on algae biomass.


Comments

Trellis Earth Products buying Cereplast assets

By Frank Esposito
Senior Staff Reporter

Published: June 23, 2014 10:40 am ET
Updated: June 23, 2014 4:01 pm ET

Post Your Comments


Back to story


More stories

Image

Almost half of mid-market firms say they are looking to buy competitors

March 2, 2015 3:52 pm ET

There are steps that plastics business owners can take to keep the mergers and acquisitions parade rolling into 2015.    More

Image

P&G adding label to help guide consumers in recycling

March 2, 2015 3:29 pm ET

Procter & Gamble Co. will help prompt consumers to recycle rigid packaging by joining the Sustainable Packaging Coalition's How2Recycle Label program.    More

Image

Lower oil prices will continue to impact PE, PP resin pricing

March 2, 2015 2:05 pm ET

Lower oil prices will continue to affect North American markets for polyethylene and polypropylene resin in the months ahead.    More

Image

Toyota says Mirai fuel cell sedan represents a 'new start' for the carmaker

March 2, 2015 11:55 am ET

Toyota Motor Corp.'s most advanced vehicle, a car that runs on hydrogen and emits only water, has had an ironically low-tech birth and has an equally ...    More

Image

BASF keeps innovating to drive customers

March 2, 2015 11:39 am ET

Materials giant BASF Performance Materials is keeping innovation alive with new products and processes.    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