Diverse packaging company Winpak Ltd. will invest $40 million to expand its nylon film subsidiary American Biaxis Inc.
Biaxis will add annual production capacity of 24 million to 31 million pounds of biaxially oriented polyamide at its Winnipeg, Manitoba, facility, Winpak announced Dec. 19. The expanded output is destined for North American markets.
Winpak said the investment involves equipment purchases as well as work on the film plant. The additional capacity is due on stream in the second half of 2019. Company officials were unavailable to provide more details after the announcement.
Winpak's subsidiary became the second North American producer of BOPA in 1999 when it started up a C$25 million (US$19.5 million) plant near its parent's Winnipeg headquarters. Winpak owns 51 percent of Biaxis, with Tokyo-based Sojitz Pla-Net Corp. holding the rest. Nichimen Corp. was Winpak's original partner.
In a 1998 interview, Winpak estimated the plant would be able to make C$20 million (US$15.6 million) worth of BOPA per year.
Winpak consumes some of Biaxis's output for modified atmosphere and other food packaging. Sojitz distributes the film in North America.