U.S. Can Corp., the nation's leading supplier of metal containers for personal-care, household, automotive, paint and industrial products, is adding plastics to its product line by buying Plastite Corp. of Morrow, Ga. The transaction, to be completed by the end of the first quarter, is U.S. Can's first foray into plastics, said Tim Stonich, executive vice president and chief financial officer of U.S. Can. Terms were not disclosed.
U.S. Can, based in Oakbrook, Ill., is publicly traded. Plastite is a privately held firm, formerly a division of Brockway Standard Industries Inc. The acquisition will be made through U.S. Can's subsidiary, United States Can Co.
Plastite claims to be the nation's largest maker of plastic paint cans, with total sales of about $16 million. The firm also makes 1-and 5-gallon pails and lids. Plastite has one plant with 15 injection molding machines, said Bud Sheesley, the firm's chief executive officer.
Stonich said the purchase will fit perfectly with U.S. Can's paint can business.
``Plastite is a great complement to our metal paint can business,'' he said. ``Some of our customers prefer plastic for some materials, and we are especially interested in the 1-gallon plastic containers.''
U.S. Can officials were quick to say it has no intention of getting out of the metal can business.
U.S. Can, formed in 1983 as a leveraged buyout of Sherwin-Williams Container Division, operates 27 plants in 11 states.
Two former Brockway Standard executives, including Sheesley, bought Plastite in June 1990.