PolyOne Corp. continues to shed noncore businesses, as the Avon Lake, Ohio-based compounding leader has announced plans to sell its Syncure-brand cross-linked polyethylene business to Padanaplast USA Inc. of Sheboygan, Wis.
No purchase price was disclosed in the deal, which is expected to close in early May. The Syncure business makes compounds based on cross-linked PE at a plant in Valleyfield, Quebec. PolyOne acquired the business in 1998 as part of its purchase of Synergistics Inc. Padanaplast is acquiring machinery and inventory, and will lease the 25-employee site from PolyOne, said PolyOne spokesman Dennis Cocco.
Padanaplast is making the move to add capacity and grow its business, Managing Director Kevin Gohr said by phone March 12. Padanaplast - which no longer is associated with Italian compounder Padanaplast SpA - does most of its business in cross-linked PE compounds for the wire and cable market.
Padanaplast employs 42 and operates four extrusion lines at a 60,000-square-foot plant in Sheboygan. Gohr declined to release sales figures for the privately held firm, which is owned by a group of Wisconsin-based and Italian investors.
``[Syncure] was a small product line for us,'' said Cocco. ``We were selling into certain niches, but we didn't feel that we'd be able to grow our position, so we decided to sell it.''