Bayside Capital Corp. acquired its first plastics firm Jan. 18 and plans to buy more, said George Lunick, chief executive officer and principal for the recently formed London, Ontario, firm. Bayside is listed on the Alberta Stock Exchange.
Bayside bought Exacu-Mould Inc., also of London, a custom injection molder for appliance, business machine and other markets. Exacu-Mould, established in 1973, had annual molding sales of about C$800,000 (US$584,000). It has nine injection presses with clamping forces of 25-220 tons, and Lunick said he wants to add a 500-tonner. Exacu-Mould plans to apply for ISO 9002 registration soon.
Lunick said in a telephone interview that Bayside is interested in buying other small plastics firms and forming manufacturing joint ventures for medical and other markets. Lunick also seeks U.S. sales representatives in the Midwest, Florida and other states to expand Exacu-Mould's sales base, which was concentrated in Ontario.
Bayside paid for Exacu-Mould via a share exchange of 2,200 Bayside common shares and C$175,570 (US$128,166) worth of Exacu-Mould preference shares relating to cancellation ofExacu-Mould shareholder loans and a portion of existing retained earnings.
One of Exacu-Mould's former owners, Jan Thorup, will continue as general manager. The other, Willie Brandt, left for health reasons, said Lunick, a chartered accountant who became ExacuMould president.
Bayside split off Exacu-Mould's tooling operation in London by leasing the equipment to a few of the tooling employees, who now call the operation Premier Tooling.