AT Plastics financing will allow expansions
BRAMPTON, ONTARIO — AT Plastics Inc. said May 6 that it finalized a C$70 million (US$50.4 million) private debt financing that it will use to expand.
AT issued 12-year senior secured debentures with a syndicate of nine Canadian life insurance firms. The first C$30 million (US$21.6 million) of the issue will have a coupon of 7.87 percent.
The Brampton film and resin company also said it arranged a C$75 million (US$54 million) revolving five-year bank facility through Royal Bank, Canadian Imperial Bank of Commerce and National Bank. The agent for both transactions was CIBC Wood Gundy Securities Inc. of Toronto.
AT is spending about C$165 million (US$118.8 million) on five previously announced expansions. Projects include a temporary compounding facility in the United States to be followed by a permanent compounding plant in Peachtree City, Ga., next year, ethylene copolymer resin expansion at Edmonton, Alberta, film and sheet expansion in Tennessee, and more agricultural and horticultural film capacity at Edmonton.
AT also will use C$30 million (US$21.6 million) it raised in an equity issue last year to fund its expansions.
Polimrei expanding picks PE distributor
MILAN, ITALY — European polyethylene supplier Polimeri Europa, which is set to add 882 million pounds of annual capacity this year, has appointed Distrupol Ltd. to distribute its PE products in the United Kingdom and Ireland.
Milan-based Polimeri Europa is the joint venture formed in 1995 by Union Carbide Corp. of Danbury, Conn., and Italian chemical company Enichem SpA.
Chertsey, England-based Distrupol—the fast-growing United Kingdom polymer distribution arm of top British chemical distributor Ellis & Everard plc—comprises KD Thermoplastics, Horneman UK, Giltrain Plastics Ltd. and Ellis & Everard Polymers Ireland Ltd.
Distrupol now has annual sales of about 230 million deutsche marks ($134.5 million). Last month it bought a majority share in Swedish polymer supplier Waldenstrom and Krogh, and added a line of PVC compounds from EVC International of Brussels, Belgium.