Alcan Inc. plans to boost its foamed plastics composites business by acquiring the Uniwood/Fome-Cor Division of Nevamar Co. LLC.
Montreal-based Alcan said it agreed to pay US$95 million for Uniwood/Fome-Cor, based in Statesville, N.C. Uniwood/Foam-Cor also operates a second production plant in Glasgow, Ky. Its annual sales of laminated foamed polystyrene board and similar products run about US$69 million. Alcan expects to complete the deal early in October.
Uniwood/Fome-Cor's main products include paper-laminated expanded PS board used in advertising displays, furniture and construction. Alcan entered the business a few years ago through its merger with Alusuisse Lonza Group Ltd.
Alcan spokesman John Gardner said his firm has targeted composite boards as a growth market. Alcan recently acquired a balsa-wood composite business and opened a plastic composite board plant in Brazil, Gardner said by telephone from Zurich, where Alcan's engineered products business is headquartered.
Nevamar is owned by investment firm Kohlberg & Co. of New York.
