Wicklund Holding Co. and International Plastics Corp. have agreed on terms for the reverse acquisition of Nicholasville, Ky.-based International Plastics.
The legal process will be complete in February, at which time the purchase price is to be announced.
While Wicklund is acquiring IPC, Jim Turek, IPC president, will remain president and chairman of the board. As well, the Wicklund name will cease to exist and the firm will be known as International Plastics Corp. Wicklund President Eric Wicklund will remain as a member of IPC's board.
The resulting company will be publicly held and listed on the Nasdaq stock system. The agreement was reached late last year.
IPC is a 10-year-old recycler of post-consumer and post-industrial plastics. The firm makes proprietary products such as rebar supports, plastic lumber and signs, trailer liners, slip guards and file folders from high density polyethylene, polycarbonate and ABS.
``This will provide a public market for funding while maintaining our own independence to a degree,'' Turek said in a telephone interview. ``We won't be swallowed up by a giant conglomerate and we can still foster our own development.''
``There's the potential for use worldwide,'' Turek said of his company's products, which have been used in structures such as the Rock and Roll Hall of Fame and Jacobs Field, both in Cleveland.
``We acquire the material and toll it to have it pelletized to our specifications,'' explained Turek.
IPC has 11 employees at its Nicholasville headquarters and 80 at its three satellite operations.
Wicklund Holding, based in Farmington Hills, Mich., was a Nasdaq-listed company specializing in oil and gas processing. As a small company, Wicklund had trouble acquiring leases in the late 1980s during the Arab oil embargo. It was operating two oil wells. This deal signifies its move into the plastics industry.
``They looked at more than 20 companies before agreeing to doing [the reverse acquisition] with us,'' Turek said. ``They're on sound financial ground and it is a well-run, well-operated family business.''