Linpac Plastics Ltd. is investing £1 million ($1.67 million) in its newly acquired Filmco PVC film plant in Sedgefield, England.
The investment is the first in a planned program of capital spending that Linpac has earmarked for two facilities in Sedgefield and Aurora, Ohio. Both of the plants were acquired from Viskase Corp.
The 94,000-square-foot Sedgefield plant also converts oriented polypropylene film, according to Peter Whittington, director of Knottingley, England-based Linpac.
``An initial investment during the first 12 months is designed to enhance the plant's product range and expand its capabilities,'' Whittington said.
He said the investment, together with PVC film operations at Linpac Plastics' existing European plant at Pontivy, France, will make the firm ``a major force in world markets for flexible packaging and household films.''
Linpac Plastics also operates a PVC packaging film plant in Cape Town, South Africa.
``We are also impressed with the performance of the Aurora plant, and are currently carrying out a survey aimed at identifying areas requiring capital investment,'' Whittington said.
Buying the 74,000-square-foot Aurora plant will enable the company to combine delivery of PVC wrap and expanded polystyrene foam trays, Whittington said. Linpac has two U.S. EPS foam tray plants.
The Aurora plant also will supply packaging to Linpac's Latin American markets until the company starts to produce PVC film in South America.
The firm already makes EPS food packaging at plants in Santiago, Chile; Montevideo, Uruguay; and Sao Paulo, Brazil.