Mexico City — Icelandic rotational molder Rotovia hf has acquired Mexican rotomolder Ollin Plastics. It describes the transaction as a "significant milestone" in its strategic growth plan.
The deal will make it easier for the company to serve customers across North America and will support a long-term business vision for 2028, Rotovia said in an Oct. 16 news release. Financial details of the agreement were not revealed.
Ollin Plastics is located in the municipality of General Escobedo, near Monterrey in northern Mexico. U.S. company ATEK Rotomolding launched it in 2021 and it came online in 2022.
In an emailed response to questions posed by Plastics News, Rotovia CEO Daði Valdimarsson said the plant's total roofed area is 16,000 square meters, or a little more than 172,000 square feet.
"The core custom molding segments which Rotovia is supplying are renewable energy, leisure, [agricultural] machinery, building and construction machinery, and commercial vehicles," Valdimarsson said.
All Ollin's production is exported to the U.S., he added. Ollin has annual sales of about $20 million.
Currently, Ollin operates three carousel machines with a swing diameter of 4.2-5 meters, said Valdimarsson, adding that the company employs about 130, "and yes our intention is to grow the business and recruit more people."
In its news release Rotovia described Ollin as a "high quality" custom rotomolder which uses advanced technology and "offers design support, complex assembly and foaming services." It also says the Ollin team is "passionate and professional."
"Acquiring the leading Mexican rotomolding company, Ollin Plastics, aligns perfectly with our strategic objectives and positions us to expand in North America," Valdimarsson said in the release.
"Our intention is to invest in the plant as needed to support future growth of our own proprietary products as well as our custom molding business," he told PN. "A third machine has just been installed and our focus now is to get that equipment fully utilized.
Carlos De Santiago, Ollin Plastics' plant manager of Ollin Plastics, added in the release: "We are thrilled to become part of Rotovia and look forward to the growth opportunities this brings. Together, we can achieve great things and continue to deliver exceptional value to our customers."
With the acquisition, Rotovia now operates 11 manufacturing facilities in eight countries — nine in Europe and two in North America. It employs about 850. Its headquarters is in Dalvik, Iceland.