TORONTO — Magnifoam Technology Inc. has begun supplying a major silicone foam seating contract from its recently completed, C$2 million (US$1.48 million) Barrie, Ontario, facility about 60 miles north of Toronto. Magnifoam recently agreed to supply Long Island Rail Road with seating for about 1,100 replacement and upgraded rail cars. The first phase is for 114 new cars, each car requiring about C$20,000 (US$14,800) worth of seating. The seating is based on the firm's MF1 silicone foam with density of 7.5 pounds per cubic foot, according to Bruce Parker, Magnifoam's vice president of sales and marketing.
Magnifoam opened a 30,000-square-foot research, development and production facility in Barrie in mid-September, about nine months after it launched its MF1 silicone foam, which it claims is nontoxic and fire-resistant and can be made with density of less than 5 pounds per cubic foot. The foam has a partly interconnecting, open-cell structure.
Parker said his firm went public last year with a C$12 million (US$8.9 million) initial public offering. It spent the previous two years developing the silicone foam technology. It trades on the Alberta Stock Exchange but plans to get listed on the Toronto Stock Exchange within a few months, Parker said.
Parker said Magnifoam's 10-year warranty and MF1's durability helped it land the rail car deal. It recently obtained an auto airbag gasket contract worth more than C$1 million (US$740,000). Magnifoam will supply MFSiltec foam in rollstock for conversion to gaskets by undisclosed customers. As its fiscal year ending March 31 approaches, Magnifoam's C$8 million (US$5.9 million) in orders puts the company on track for its financial targets, Parker said.
Magnifoam plans to expand sales into telecommunications, aerospace, medical, footwear, clothing and other industries. Parker said it might establish a U.S. production facility next year.