Acrylon Plastics Inc. has added a third rotational molding plant to its stable with the purchase of a facility in Saskatoon, Saskatchewan.
Acrylon bought the plant Jan. 2 from the Canadian subsidiary of Norwesco Inc. of St. Bonifacius, Minn., for undisclosed terms. The operation, housed in a 12,600-square-foot leased building, employs seven and has two machines - one large and one medium-size.
The acquisition greatly expands the firm's opportunities to supply products into Saskatchewan and Alberta, said Craig McIntosh, president and chief executive officer, in a Feb. 4 news release.
The acquired plant complements Acrylon's rotomolding headquarters plant in Winnipeg and one in Winkler, Manitoba. The Winkler facility also includes heavy-gauge thermoforming production for farm machinery and similar markets.
Saskatoon has three major businesses, McIntosh said in a telephone interview. It will continue to make tanks for Norwesco. It will make farm machinery components for Acrylon accounts, taking over work Norwesco was doing at the site for Acrylon. On a smaller scale, the plant will do short runs of custom products for several clients.
``We have commitments that will grow the plant to 24-hours-a-day production in the next few months,'' McIntosh said in the news release. ``We continue to look for further custom manufacturing plants to acquire, particularly in the American Midwest.''
McIntosh said Acrylon and Norwesco have worked together 24 years, long before Norwesco set up production in the Canadian market. Norwesco Canada Ltd. continues with rotomolding plants in Winnipeg and in Edmonton, Alberta. A Norwesco employee will continue to be based in Saskatoon to help coordinate production among the Canadian plants, McIntosh said.
Norwesco sold the plant because it is strictly a proprietary rotomolder of tanks, and the Saskatoon facility has more promise as a custom rotomolding location, Norwesco President Thomas Smith said.
Acrylon, founded in 1978, makes components for buses, farm equipment and playground original equipment manufacturers. It employs 120. It logged sales of US$17.5 million for the year ended Nov. 30, 2005.