Custom PlasTech Ltd., a start-up firm, acquired the plant of Lobo Containers Inc., a Chagrin Falls, Ohio, blow molder, in July and is set to expand next year. Lobo is now operating as a distributor for Custom PlasTech.
Officials declined to reveal the purchase price or the cost of the expansion.
``My partners and I were looking for a small business to acquire,'' said Bob Zab, general manager.
They researched the plastics industry and decided blow molded large parts offered growth and opportunity.
``We feel the marketplace is quickly growing for large blow molded plastic parts, especially for parts that had once been rotationally molded,'' Zab added.
After making the leap into the plastics industry, Custom PlasTech worked on expanding its markets. Lobo had made only hazardous materials containers.
``We're a custom shop; we'll tackle anything,'' said Zab.
In its 12,000-square-foot plant, the company makes hazardous material containers, hotel and hospital cart panels, traffic control barrels, personal watercraft docking systems and more. The parts range from 10-45 pounds and are made from high, low and linear low density polyethylene, ABS and polypropylene. The firm's two machines can process up to 2,000 pounds of resin per hour.
Next spring, the company plans to build a 40,000-square-foot facility in Mantua, Ohio, and add a blow molding machine. It is scheduled to be in production by late summer.
``We don't have enough space now so this will make up space and give us room to expand,'' Zab said.
Depending on how many days a week the plant runs, between four and 16 employees will be added to the staff of 16 when the new plant opens. Custom PlasTech officials hope the firm eventually will be three to four times its current size, and the Mantua plant could expand to 100,000 square feet, Zab said.
