Canadian thermoformer ICI gets new financial backing

By Catherine Kavanaugh
Staff Reporter

Published: August 26, 2014 3:11 pm ET
Updated: August 26, 2014 3:15 pm ET

Image By: Innovative Composites International Inc. A $1.5 million cash infusion from Bassett Financial Corp. will allow Innovative Composites International Inc. to restructure and stabilize its business.

Related to this story

Topics Sustainability, Canada, United States, Construction, Thermoforming

Innovative Composites International Inc. (ICI) will get a $1.5 million infusion in the form of a loan and equity funding to cover a corporate restructuring and stabilize the thermoforming business as it seeks to meet its full sales potential in the housing, transportation and composite panel markets and beyond.

The Toronto-based company entered into an agreement with Bassett Financial Corp. to receive a $500,000 bridge loan and $1 million of equity funding in exchange for meeting a list of stipulations related to corporate governance, intellectual property, payment fees and more.

ICI recycles plastic water bottles and other materials into sound-barrier panels used to make prefabricated housing modules, truck body containers, cargo containers and highway barriers that buffer neighborhoods from freeway noise.

The new funding should give the company about 18 months of operating cash and working capital to pay some bills, step up production to address a backlog of orders, build up inventory and find more commercial and industrial applications for its patented technology.

For example, ICI recently saw sales increase when it shifted some focus from home and emergency shelter products for disaster relief situations to other customers, according to the new investors.

“ICI has an incredible array of practical, cost competitive and environmentally friendly products that we believe will see growth in demand in the coming years and we are excited to become an active partner to assist the company in managing this growth effectively,” Basset CEO Matthew Bassett said in a news release. “By bringing a renewed focus on sales growth and conservative capital management to the company, we believe that ICI will be well positioned to deliver increased value to all its stakeholders, old and new.”

Matthew Bassett will be nominated to ICI’s board of directors as part of the agreement, and another Bassett official, Chris Carl, will be named the chief financial officer.

The goal of all parties is to revise ICI’s business plan and increase sales in Canada and the United States, in part by identifying new opportunities for its line of lightweight, non-corrosive structural building materials that meet needs of large corporate customers in a wide range of industries.

“With the support of Bassett we now have the financial foundation to pursue these opportunities systematically and professionally,” ICI CEO Mark Rivers, said in a news release.

ICI should become a profitable organization within the next few years, he added.

“Not only does Bassett bring much needed financial assistance, but their experience in growing and managing small public companies makes them excellent partners for our capable technical management team,” Rivers also said.


Comments

Canadian thermoformer ICI gets new financial backing

By Catherine Kavanaugh
Staff Reporter

Published: August 26, 2014 3:11 pm ET
Updated: August 26, 2014 3:15 pm ET

Post Your Comments


Back to story


More stories

Image

Unique Tool adding equipment, jobs

October 30, 2014 1:52 pm ET

Mold maker Unique Tool & Gauge Inc., is planning to invest more than $3.5 million dollars in new equipment for its Windsor, Ontario, facility.    More

Image

Magna opens new exterior facility, plans for lighting investment

October 30, 2014 1:36 pm ET

Canadian automotive supplier Magna International Inc. on Oct. 28 opened a new injection molding and robotic paint line facility in Delta Township,...    More

Image

PP prices rise, solid PS, PET drop

October 30, 2014 1:15 pm ET

North American polypropylene resin prices surged again in October, while regional prices for solid polystyrene and PET bottle resin continued their...    More

Image

Italian compounder opening first US plant

October 30, 2014 9:45 am ET

The song of the South has led Italian compounder So.F.Ter Group to open its first plant in the United States in Lebanon, Tenn.    More

Image

Plastics News Now: The best homemade plastic Halloween costumes

October 30, 2014 6:00 am ET

A French molder opens its first North American facility, a molder takes augmented reality for a spin and we find the best homemade plastic Halloween c...    More

Market Reports

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 million dollar 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

Plastics Caps & Closures Market Report

The annual recap of top trends and future outlook for the plastics caps & closures market features interviews with industry thought leaders and Bill Wood’s economic forecast of trends in growing end markets. You will also gain insight on trends in caps design, materials, machinery, molds & tooling and reviews of mergers & acquisitions.

Learn more

Upcoming Plastics News Events

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

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

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

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

October 27, 2015 - October 29, 2015Plastics Financial Summit - New York - 2015

More Events