Less than a year after moving into a $25 million headquarters and manufacturing facility, Massillon, Ohio-based Polymer Packaging Inc. has put millions of dollars in blown film equipment - and potentially the plant - up for sale.
In a Feb. 6 news release, the 22-year-old, privately held firm said it has decided to quit extrusion to return to its roots as a brokerage and converter.
Larry Lanham, PPI president and chief executive officer, said in the release that he promised to work with existing customers to minimize interruptions, even as he pitched the plant and machinery to potential buyers.
``Our brand-new ... facility houses all-new Alpine [extrusion] equipment consisting of two three-layer, one seven-layer and an out-of-line [machine-direction-orientation] machine,'' he said. ``All assets are fully optimized and in pristine condition.''
PPI in June moved from its longtime North Canton, Ohio, location to the new, 90,000-square-foot facility, which is located on 10 acres served by rail. Last year the company was named Business of the Year by the Canton Regional Chamber of Commerce.
In addition to film conversion and extrusion, PPI makes prezippered film for bags and stand-up pouches for clients in the food, retort, pet food, industrial, medical and pharmaceutical markets. PPI employs about 120 between its Massillon operation and a protective packaging plant in Sparta, Mich.
Company officials did not return a call seeking comment about the pending sale. The release cited lack of sales, high resin prices, difficult economic times and a delayed startup as reasons for the decision to sell. The firm also recently lost an account with Wal-Mart Stores Inc.
According to PPI's Web site, the new Massillon plant was the first part of a three-phase plan to double the company's size in three years. When the expansion was announced in April 2006, PPI officials said they were pursuing an additional site in Sparks, Nev., for a 30,000-square-foot film converting plant - a plan delayed by the Ohio move.