Uponor Group of Espoo, Finland, is expanding its hot-water business in Eastern Europe — again.
The company's Polish subsidiary, Uponor Polska Sp. z o.o plans to build a 150,000-square-foot manufacturing facility in Sochaczew, near Warsaw.
The new plant will incorporate the extrusion lines of a current factory in Sochaczew, Poland, where Uponor makes polypropylene pipe for residential hot-water systems, Johan Slotte, managing director of Uponor Polska, said in a telephone interview.
Other extrusion lines could be added if the company decides to make other types of products at the new plant, Slotte said, but added he did not want to disclose the existing number of extruders at the plant.
The new building also will house a ``substantially expanded'' number of injection molding machines, which are used to produce the connection systems for the hot-water pipes, he said.
The factory will cost about 75 million Finnish markkaa ($15 million) to build and will employ about 150 workers when it is completed next fall.
The investment is the largest for any new facility in Uponor's history, according to a news release.
Uponor Group subsidiary Magnaplast Sp. z o.o also operates a plant in Sieniawa Zarska, Poland, that makes plastic pipe products for indoor waste-water applications.
Another Uponor subsidiary, Pexep Oy, operates a sales office in Sochaczew for cross-linked polyethylene pipe systems for residential heating.
Uponor has done business in Poland since 1995, and is expecting sales of about FM140 million ($28 million) in 1998, according to a news release.
Other recent moves by Uponor include the construction of new pipe plants in Hungary and Canada and the purchase of Unicor Group GmbH of Hassfurt, Germany, which makes multilayer plastic pipes with an aluminum component, as well as extrusion machinery.
The new Polish facility will join Uponor's stable of 35 manufacturing plants in 15 countries.
Uponor had worldwide sales of FM3.7 billion ($712 million) last year, and expects sales of FM4.8 billion ($961 million) in 1998.