Metuchen, N.J.-based industrial thermoformer C+K Plastics Inc. plans to buy Piedmont Polymers & Fabrication LLC, a Charlotte, N.C.-based company that filed for Chapter 11 protection on Dec. 13.
C+K is the stalking horse bidder for Piedmont's assets, according to documents filed with the U.S. Bankruptcy Court in Charlotte. If another bidder exceeds C+K's $1 million offer, then C+K will receive a break-up fee.
David Grice, vice president of sales and marketing for C+K, said the company plans to keep Piedmont's factory open, and is a few weeks away from making an official announcement.
"C+K Plastics is excited to move into the Carolina market and work with the great customers at Piedmont," Grice said.
Piedmont Polymers is a heavy-gauge thermoformer that focuses on the aerospace and transit sectors. The company was formerly the fabrication division of Charlotte-based sheet and semifinished product distributor Piedmont Plastics Inc.
Piedmont Plastics sold Piedmont Polymers to financial services company ARC Industries Inc. in 2018. According to court documents, Piedmont Polymers' sales dropped from about $19.2 million in 2019 to about $11.6 million in 2020. Piedmont Plastics is the largest secured creditor, owed about $5.99 million.
Piedmont Polymers has 11 machines and 53 employees, and ranked No. 96 in the recent Plastics News survey of North American thermoformers.
C+K Plastics ranked No. 58, with sales of $30 million, 200 employees and 20 machines. The company does thermoforming in Metuchen and in Conyers, Ga.