BUCHAREST (Romania), September 13 (SeeNews) - Romanian construction materials manufacturer TeraPlast Group said that it has concluded an agreement with Brikston Construction Solutions to take over its polyethylene films production in the central town of Sighisoara.
The acquisition is part of TeraPlast’s expansion strategy on the flexible packaging market, the group said in a statement filed with the Bucharest Stock Exchange, BVB, on Friday evening.
These assets add 1,200 tonnes per year to the current production capacity for industrial polyethylene packaging and 300 tonnes per year for films recycling, TeraPlast CEO Alexandru Stanean said.
Starting September 20, Brikston assets in Sighisoara will be transferred to TeraPlast's Somplast plant in Nasaud, which is in the middle of a reshaping process after being acquired by the group in April.
At the same time, the rigid PVC recycling factory of the group will be relocated to the Nasaud plant. The processing capacity of the rigid PVC factory is tripling as part of this year’s expansion investments, the group added.
According to TeraPlast Group, Somplast’s location offers plenty of space for development with 20,000 sq m of halls that need to be adapted. The renovation implies both demolition and re-modelling works for the auxiliary spaces.
TeraPlast Group's net profit jumped by an annual 71% in the first half of 2021 to 28.7 million lei ($6.9 million/ 5.8 million euro), while EBITDA rose by an annual 47% in the first half of 2021 to 42.7 million lei.
TeraPlast Group is comprised of the flagship company TeraPlast SA, TeraGlass, TeraPlast Recycling, TeraBio Pack and Somplast.
TeraPlast SA shares traded 1.37% higher at 1.33 lei as at 0928 CET on Monday on the Bucharest Stock Exchange.
(1 euro=4.9432 lei)